A Rise in the Price Level Because of an Increase

question 251

Multiple Choice

A rise in the price level because of an increase in the money wage rate

• A) definitely triggers a cost- push inflation.
• B) definitely triggers a demand- pull inflation.
• C) might trigger a demand- pull inflation.
• D) might trigger a cost- push inflation.

---

Definitions:

Sampling Distribution

The distribution that indicates the probabilities of a given statistic, which is acquired from a random sample.

T-distribution

A probability distribution used in statistics that arises when estimating the mean of a normally distributed population in situations where the sample size is small and the population standard deviation is unknown.

Standard Normal Distribution

Normal distribution measured in standard deviation units with a mean equal to 0 and a standard deviation equal to 1.

Sampling Distribution

The distribution pattern of probabilities for a certain statistic obtained through random sampling.