It is a matter of common observation that although incomes keep going up over the years，people never seem to become much better off! Prices are rising continuously．The condition is termed(称作) one kind 0f inflation, the money supply is becoming inflated so that each unit of it becomes less valuable．People have got used in recent years to higher and higher rates of inflation．

What could be bought ten years ago for one dollar now costs well over two dollars. It seems that this rate of inflation is tending to rise rather than to fall．If in the real world our money incomes go up at the same rate as prices，one might think that inflation does not matter．But it does when money is losing value，it lacks one of the qualities of a good money---stability (稳定) of value．It is no longer acceptable as a store of value；and it becomes an unsuitable standard of deferred(延期) payments．Nobody wants to hold a wasting possession，so people try to get rid of money as quickly as possible. Inflation therefore stimulates people spending，and prevents people from saving.

小题1:

What does inflation mean?

A．People’s money becomes more valuable

B．The problem of employment will be solved．

C．It’s easier for people to find better paying jobs．

D．Money keeps losing its value．小题2:

From the passage．we can know inflation __________.       

A．seldom happens

B．is very common at present

C．is a must

D．has become less in recent years小题3:

According to the passage，if incomes and prices rise together ______     

A．the business will become better

B．money will hold its value

C．inflation won’t be a problem

D．inflation will remain to be a problem小题4:

In a period of inflation，people are likely to  ______ ．

A．put much money on the stock market(股市)

B．stop spending money

C．hold on to money as a dependable possession

D．spend money as soon as possible