During periods of inflation?

Question

1-the general price level of goods and services rises
2-the prices of all goods and services rise
3-everyone?s real income falls
4-interest rates always rise

Answer 1

1-the general price level of goods and services rises

Answer 2

1. this is how inflation is defined
2. there will be pressure on ALL prices to rise
3. the purchasing power falls, therefore `real` income falls. then there is pressure for wage rise
4. government intervention usually takes the form of interest rise