Demand-pull inflation is the result of excessive pressure on the demand side of the economy.
Answer the following statement true (T) or false (F)
True
When there is too much demand relative to supply in the overall economy, there will be demand-pull inflation.
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In comparison to the situation in the late 1970s, the United States experienced lower nominal interest rates and higher real interest rates in the late 1990s
a. True b. False Indicate whether the statement is true or false
The estimated demand for a good is
= 25 - 5P + 0.32M + 12PRwhere Q is the quantity demanded of the good, P is the price of the good, M is income, and PR is the price of related good R. If the price of the good falls by $4, the quantity demanded will ________ by ________ units.
A. increase; 50 units B. decrease; 12 units C. increase; 20 units D. increase; 48 units E. increase; 5 units
Which of the following statements best depicts laypeople's explanation of the Great Depression at that time?
A. Unions were keeping the good jobs for themselves. B. An oversupply of goods had glutted the market. C. Government policies kept prices too high. D. An oversupply of goods is impossible.
Which of the following is an argument that is used for protection from free trade?
i. the national security argument ii. the infant-industry argument iii. the dumping argument A) i only B) ii only C) iii only D) i and iii E) i, ii, and iii