When Inflation Increases

question 193

Multiple Choice

When inflation increases,

• A)the Fed lowers interest rates and the aggregate demand curve shifts to the left.
• B)there is an upward movement along the aggregate demand curve.
• C)the Fed raises interest rates and the aggregate demand curve shifts to the right.
• D)there is a downward movement along the aggregate demand curve.
• E)the Fed raises interest rates and the aggregate demand curve shifts to the left.

---

Definitions:

Apothem

A line segment that goes through the center of a polygon that is perpendicular to a side.

Octagon

A geometric figure with eight sides and eight angles.

Gazebo

A freestanding open structure, often found in gardens and parks, used for relaxation or entertainment.

Security Deposit

The money given to the landlord from the tenant as protection in the event that the tenant causes damage to the rented property; refunded when the tenant moves out if there is no damage, and can range from 1 to 4 month’s rent.