Inflation caused by a rise in per unit production costs is referred to as:
a. Unanticipated inflation
b. Demand-pull inflation
c. Hyperinflation
d. Cost-push inflation
d. Cost-push inflation
You might also like to view...
Describe the market structure of the beverage industry
What will be an ideal response?
The failure of private incentives to provide adequate maintenance of public resources leads to the tragedy of the commons
a. True b. False Indicate whether the statement is true or false
For all employee earnings subject to Social Security taxes, what is the current Social Security tax rate for employees?
A) 0.8% B) 2.9% C) 4.2% D) 6.2%
If a firm is currently in short-run equilibrium earning a profit, what impact will a lump-sum tax have on its production decision?
A) The firm will decrease output to earn a higher profit. B) The firm will increase output but earn a lower profit. C) The firm will not change output but earn a lower profit. D) The firm will not change output and earn a higher profit.