Final answer:
Inflation leads to a decrease in purchasing power of money, causing prices of goods and services to rise.
Explanation:
Inflation is a persistent increase in the general price level of goods and services in an economy over time. It results in a reduction in the purchasing power of money, causing each unit of currency to buy fewer goods. When there is inflation, prices of goods and services increase as a consequence.
Learn more about Inflation here:
https://brainly.com/question/51526287
