Given below are two statements, one labelled as Assertion (A) and the other as Reason (R).\n **Assertion (A):** During periods of unexpected high inflation, debtors (borrowers) benefit at the expense of creditors (lenders).\n **Reason (R):** Inflation reduces the purchasing power of money, allowing debtors to repay their nominal debts with money that has lower real value than when it was borrowed.\n Select the correct answer using the code given below:

Options:

  • A: Both A and R are true and R is the correct explanation of A
  • B: Both A and R are true but R is not the correct explanation of A
  • C: A is true but R is false
  • D: A is false but R is true

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