Question

What role does financial planning play in dealing with inflation?

a.

It has no impact on handling inflation

b.

It ensures that inflation has a minimal effect on post-retirement finances

c.

It accelerates the impact of inflation

d.

It encourages extravagant spending

Posted under IC38 Life Insurance Agent Exam

Answer: (b).It ensures that inflation has a minimal effect on post-retirement finances Explanation:Financial planning plays a role in dealing with inflation by ensuring that individuals are equipped to handle its impact, especially in later years. Proper planning can help minimize the effect of inflation on post-retirement finances.

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Q. What role does financial planning play in dealing with inflation?
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