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SUBJECT : Economics
PUBLISHED ON : 09/12/13
NUMBER OF PAGES : ( 7 Pages)
PRICE : Rs 5.25

Deflation is defined as a situation where supply of money is less than the demand for money. The supply of money is inadequate to meet the business requirements in the economy. Then the price of goods and services has a tendency to fall. Value of money starts rising. This explanation of deflation dose not tells us how to estimate exact requirement of money in an economy.

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