An Inflationary Spiral Can Emerge When

question 52

Multiple Choice

An inflationary spiral can emerge when

• A)Desired spending at full employment falls short of full-employment output.
• B)An increase in investment exceeds available savings.
• C)Actual investment equals desired investment.
• D)Desired leakages exceed desired injections.

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Definitions:

Lungs

The primary organs of the respiratory system, responsible for gas exchange where oxygen is absorbed and carbon dioxide is released.

Heart

A muscular organ responsible for pumping blood through the circulatory system.

Anatomical Position

A standardized stance in human anatomy where the body is erect, the feet are slightly apart, arms are at the sides, and the head and palms face forward.

Palm

The inner part of the hand extending from the wrist to the bases of the fingers.