A demand-pull inflation problem can best be solved by
A. An increase in aggregate demand.
B. A reduction in aggregate supply.
C. A reduction in desired spending.
D. An increase in production of goods and services.
Answer: C
You might also like to view...
The figure above shows the market for annual influenza immunizations the United States. The marginal external benefit associated with immunizing 14 million people is ________ per person per year
A) $40 B) $20 C) $90 D) $30 E) $60
Does government failure necessarily condone an extreme libertarian point of view where the government does not intervene in markets at all?
What will be an ideal response?
The price elasticity of demand coefficient for gourmet coffee is estimated to be equal to 1.6 . It is expected, therefore, that a 10% increase in price would lead to:
a. a 16% decrease in the quantity of gourmet coffee demanded. b. a 16% increase in the quantity of gourmet coffee demanded. c. an 8% decrease in the quantity of gourmet coffee demanded. d. an 8% increase in the quantity of gourmet coffee demanded.
The following question relates to an oligopoly market where the industry demand curve is P = 100 - Q. What price will the two Stackelberg firms charge?
What will be an ideal response?