The presence of an incentive system that encourages growth A) ...

[WWatsford]

The presence of an incentive system that encourages growth
 
  A) guarantees that growth will occur.
  B) creates the right conditions for growth to occur.
  C) cannot exist in poor countries.
  D) existed even in hunter-gatherer societies.
  E) means that the government must be a democracy.

Question 2

In a demand-pull inflation, if the Fed stops expanding the quantity of money,
 
  A) a cost-push inflation will occur.
  B) government expenditure will cause the demand-pull inflation to continue.
  C) a deflation will occur.
  D) the demand-pull inflation ends.
  E) None of the above answers is correct.

[iceage]

Answer to Question 1

B

Answer to Question 2

D