What Is One Reason Why a Government Will Deliberately Inflate

question 124

Multiple Choice

What is one reason why a government will deliberately inflate its national money supply?

• A) The action benefits retirees and anyone else on a fixed income.
• B) The action promotes the interests of domestic producers at the expense of foreign ones.
• C) The action enables the government to borrow funds to remain in operation.
• D) The action temporarily boosts the growth rate of a sluggish economy.
• E) The action helps to keep inflation under control in the long run.

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Definitions:

Serotonin

A neurotransmitter associated with mood regulation, digestion, sleep, and other important bodily functions.

Acetylcholine

A neurotransmitter involved in many functions including muscle contraction and memory.

Upper Brainstem

The part of the brainstem that is closer to the top part of the brain, involved in basic life functions such as consciousness, breathing, and heart rate.

Lower Brainstem

A region at the base of the brain connecting to the spinal cord, responsible for fundamental life-sustaining functions such as breathing and heart rate.