Question: How does inflation become a vicious cycle? 1)By sparking a cycle of decreased prices, higher wage demands, and cost decreases for businesses. 2)By sparking a

How does inflation become a vicious cycle?

1)By sparking a cycle of decreased prices, higher wage demands, and cost decreases for businesses.

2)By sparking a cycle of increased prices, higher wage demands, and cost increases for businesses.

3)By encouraging saving over spending.

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