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Economics Question 1.1.7

Economics Grade 12 · NSC September 2025 P2 (Eastern Cape)

The constant decrease in the general price level is called ...

Eastern Cape DoE September 2025 2 marks Inflation Types, causes, and consequences of inflation Term 3

About this question

Question 1.1.7 of Economics Grade 12 Paper 2, NSC Preparatory Examination (Eastern Cape DoE, September 2025). It tests the Term 3 ATP topic Inflation Types, causes, and consequences of inflation.

  • TermTerm 3
  • ATP topicInflation Types, causes, and consequences of inflation
  • PaperPaper 2
  • Marks2 marks for the correct letter
  • A deflation.
  • B interest rate.
  • C hyperinflation.
  • D core inflation.
Answer
2 marks

A: deflation.

Deflation is a sustained fall in the general price level.

Study this in your textbook: CAPS Annual Teaching Plan, Grade 12, Term 3: Economic Pursuits & Contemporary Issues.

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