To prevent demand-pull inflation, A) firms must refuse to ...

[imowrer]

To prevent demand-pull inflation,
 
  A) firms must refuse to increase the money wage rate.
  B) firms must refuse to increase the real wage rate.
  C) the Fed must not let the quantity of money persistently rise.
  D) the natural unemployment rate must increase.
  E) real GDP must increase.

Question 2

Consumers expect that the price of a gallon of gasoline will rise next week. As a result
 
  A) today's supply of gasoline increases.
  B) today's demand for gasoline increases.
  C) the price of a gallon of gasoline falls today.
  D) next week's supply of gasoline decreases.

[FergA]

Answer to Question 1

C

Answer to Question 2

B

[imowrer]

Correct answers!

[FergA]

Great! Please up vote