1. The HDI measures the size of an economy, by adding the the value of goods and services produced within the country during a period of time, usually a full calendar year.
Select one:
True
False
2. Inflation was so high that money became useless, especially in Russia, who experienced a phenomenon known as hyperinflation; an event that makes everything super expensive overnight.
true or false?
1. False. The statement describes the measurement of the Gross Domestic Product (GDP), not the Human Development Index (HDI). The HDI is a composite index that measures a country's average achievements in three basic dimensions of human development: a long and healthy life, access to knowledge, and a decent standard of living.
To determine the correct answer, you can use reliable sources such as economic textbooks, reputable websites that explain the HDI, or consult with experts in the field.
2. False. While Russia did experience high inflation during the 1990s, including a period known as "hyperinflation," the statement that everything became super expensive overnight is not accurate. Hyperinflation is a phenomenon where prices rapidly and uncontrollably rise, often on a daily or even hourly basis. This typically leads to a loss of value in the local currency, making it challenging to use for transactions or store wealth.
To verify the accuracy of the statement, you can refer to historical records, economic analyses, or accounts from reputable sources that provide information on the occurrence of hyperinflation in Russia during that time.