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 517 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?

A serious new warning has been established for pregnant women against taking ACE inhibitors during pregnancy. In the study, the risk of major birth defects in children whose mothers took ACE inhibitors during the first trimester was nearly three times higher than in children whose mothers didn't take ACE inhibitors. Physicians can prescribe alternative medications for pregnant women who have symptoms of high blood pressure.

Did you know?

Blood is approximately twice as thick as water because of the cells and other components found in it.

Did you know?

Although puberty usually occurs in the early teenage years, the world's youngest parents were two Chinese children who had their first baby when they were 8 and 9 years of age.

Did you know?

Excessive alcohol use costs the country approximately $235 billion every year.

Did you know?

During the twentieth century, a variant of the metric system was used in Russia and France in which the base unit of mass was the tonne. Instead of kilograms, this system used millitonnes (mt).

For a complete list of videos, visit our video library