of the following groups, the one hurt most by unanticipated inflation is\na retirees who are living on fixed…

of the following groups, the one hurt most by unanticipated inflation is\na retirees who are living on fixed incomes.\nb workers with cost - of - living adjustment contracts.\nc banks who have made short - term adjustable rate mortgages.\nd people who have invested savings in variable rate returns.\ne unemployed utilizing government transfer payments.

of the following groups, the one hurt most by unanticipated inflation is\na retirees who are living on fixed incomes.\nb workers with cost - of - living adjustment contracts.\nc banks who have made short - term adjustable rate mortgages.\nd people who have invested savings in variable rate returns.\ne unemployed utilizing government transfer payments.

Answer

Brief Explanations:

Unanticipated inflation reduces the real - value of fixed payments. Retirees on fixed incomes see the purchasing power of their income decline as prices rise unexpectedly. Workers with cost - of - living adjustments have their incomes adjusted with inflation, banks with adjustable rate mortgages can adjust interest rates, people with variable rate returns see returns adjust with market conditions, and government transfer payments may be adjusted for inflation over time.

Answer:

A. retirees who are living on fixed incomes