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What does the quantity theory speculate about the cause of inflation? a. when there's a lot of currency in circulation, inflation can occur b. when a good decreases in value, its price will rise and inflation can occur c. when increased costs provoke producers to raise prices, inflation can occur d. when demand for goods and services exceeds the supply available inflation can occur

Ralph Lopez

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Dana Keller on August 12, 2018

The quantity theory that speculates on the cause of inflation I (A) where there is a large amount of currency in circulation, inflation can occur.According to this theory, when there is a large amount of money that circulates around, that is when inflation can happen.


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