If Consumers Attempt to Buy More Goods Than the Economy

question 88

Multiple Choice

If consumers attempt to buy more goods than the economy can produce,the result is

• A)Unemployment.
• B)Demand-pull inflation.
• C)Cost-push inflation.
• D)The wealth effect.

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Definitions:

Inventory

The goods and materials a business holds for the purpose of resale or production.

Intragroup Services

Services provided between companies within the same group, often related to management, support, or technical services.

NCI Adjustment

Adjustments made to reflect the share of equity interest in a subsidiary not attributable directly or indirectly to the parent company.

Ownership Interest

A shareholder's stake in a company, represented by the number of shares owned.