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Author Question: According to the adaptive expectations theory, after many years of rising prices, people tend to ... (Read 58 times)

maychende

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on: Jun 30, 2018
According to the adaptive expectations theory, after many years of rising prices, people tend to ignore past experience in predicting the future rate of inflation.
 a. True
  b. False
  Indicate whether the statement is true or false

Question 2

During periods of hyperinflation, which of the following is the most likely response of consumers?
 a. Save as much as possible.
  b. Spend money as fast as possible.
  c. Invest as much as possible.
  d. Lend money.


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pangili4

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Reply #1 on: Jun 30, 2018
Answer to Question 1

False

Answer to Question 2

b


maychende

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Reply 2 on: Jun 30, 2018
Thanks for the timely response, appreciate it

Dominic

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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