This topic contains a solution. Click here to go to the answer

Author Question: Demand-pull inflation starts with A) an increase in aggregate demand. B) a decrease in aggregate ... (Read 489 times)

yoooooman

  • Hero Member
  • *****
  • Posts: 557
Demand-pull inflation starts with
 
  A) an increase in aggregate demand.
  B) a decrease in aggregate demand.
  C) an increase in potential GDP.
  D) an increase in aggregate supply.
  E) a decrease in aggregate supply.

Question 2

The Fed raises the interest rate when it
 
  A) fears recession.
  B) wants to increase the quantity of money.
  C) fears inflation.
  D) wants to encourage bank lending.
  E) cannot change the quantity of money.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

katheyjon

  • Sr. Member
  • ****
  • Posts: 331
Answer to Question 1

A

Answer to Question 2

C





 

Did you know?

The top 10 most important tips that will help you grow old gracefully include (1) quit smoking, (2) keep your weight down, (3) take supplements, (4) skip a meal each day or fast 1 day per week, (5) get a pet, (6) get medical help for chronic pain, (7) walk regularly, (8) reduce arguments, (9) put live plants in your living space, and (10) do some weight training.

Did you know?

In ancient Rome, many of the richer people in the population had lead-induced gout. The reason for this is unclear. Lead poisoning has also been linked to madness.

Did you know?

People with alcoholism are at a much greater risk of malnutrition than are other people and usually exhibit low levels of most vitamins (especially folic acid). This is because alcohol often takes the place of 50% of their daily intake of calories, with little nutritional value contained in it.

Did you know?

Astigmatism is the most common vision problem. It may accompany nearsightedness or farsightedness. It is usually caused by an irregularly shaped cornea, but sometimes it is the result of an irregularly shaped lens. Either type can be corrected by eyeglasses, contact lenses, or refractive surgery.

Did you know?

All patients with hyperparathyroidism will develop osteoporosis. The parathyroid glands maintain blood calcium within the normal range. All patients with this disease will continue to lose calcium from their bones every day, and there is no way to prevent the development of osteoporosis as a result.

For a complete list of videos, visit our video library