6% p. a. compounded monthly

12

step-by-step explanation:

meaning of term low   inflation is when prices of commodities does not change very highly.so low inflation is   not a sign of healthy economy.the demand of goods becomes higher due to some faulty measures taken by government

there are two kind of inflation

1. positive inflation : when supply of goods is less than prices of those goods rise.

2. negative inflation : when supply of any good is very high so it,s price will fall.

so option c is true : struggling economy because it results from a steady rise in demand.