When the price level rises as a result of a decrease in aggregate ...

[shenderson6]

When the price level rises as a result of a decrease in aggregate supply, it is called cost-push inflation.
 a. True
  b. False
  Indicate whether the statement is true or false

Question 2

A trade deficit involves:
 a. net flows of goods from foreign countries to the domestic government.
  b. net money flows from the foreign firms to the domestic government.
  c. net money flows from the domestic firms to the domestic government.
  d. net money flows from the foreign firms to the domestic firms.
  e. net flows of goods from foreign countries to the domestic firms.

[pallen55]

Answer to Question 1

True

Answer to Question 2

e

[shenderson6]

Thank you

[pallen55]

Happy to help you