Statement I: Deflation and disinflation mean exactly the same thing.
Statement II: If last year's rate of inflation was 6%,that would mean that the price of every good or service went up by 6% for last year.

A) Statement I is true and statement II is false.
B) Statement II is true and statement I is false.
C) Both statements are true.
D) Both statements are false.

Deflation

A decrease in the general price levels of goods and services, often signifying an increase in the value of money.

Disinflation

A reduction in the rate of inflation, indicating a slowdown in the rate at which the general level of prices for goods and services is rising.

Rate of Inflation

The percentage increase in the general level of prices for goods and services in an economy over a period of time, indicating how fast prices are rising.