Which of the following is true of cost-push inflation? a. ...

[rosent76]

Which of the following is true of cost-push inflation?
 a. Cost-push inflation is associated with an economic expansion.
  b. Cost-push inflation is rarely experienced in developed economies.
  c. Cost-push inflation is caused by a decrease in aggregate supply.
  d. Cost-push inflation is identical to demand-pull inflation.
  e. Cost-push inflation is the result of increased consumer spending.

Question 2

The government should levy higher taxes on the rich and use the additional revenues to provide better housing for the poor. This statement illustrates:
 a. the fallacy of composition.
 b. the basic principle of economics.
  c. a normative economic statement.
  d. a positive economic statement.

[covalentbond]

Answer to Question 1

c

Answer to Question 2

c

[rosent76]

Thanks for the timely response, appreciate it

[coreycathey]

Great answer, keep it coming