According to Thomas Sargent, a Key to Stopping a Hyperinflation

question 46

Multiple Choice

According to Thomas Sargent, a key to stopping a hyperinflation is to

• A) reduce the money supply.
• B) increase the money supply.
• C) dramatically increase nominal interest rates.
• D) gain control over fiscal policy by reducing the government deficit.
• E) slow the economy by reducing government spending and/or raising taxes.

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Definitions:

Acid-Fast Staining

A laboratory technique used to identify mycobacteria and other bacteria with waxy cell walls, making them resistant to decolorization with acid-alcohol.

Waxy Cell Wall

A characteristic feature of certain bacteria, providing protection and contributing to their virulence by resisting desiccation and antibiotics.

Anaerobic Bacteria

Bacteria that thrive in environments lacking oxygen, playing roles in processes like fermentation.

Cholera

An infectious disease caused by the bacterium Vibrio cholerae, leading to severe diarrhea and dehydration.