When a Cost-Push Inflation Starts

question 320

Multiple Choice

When a cost-push inflation starts

• A) real GDP rises faster than the quantity of money.
• B) the short-run aggregate supply curve shifts rightward.
• C) the price level falls and the money wages rises.
• D) the price level rises and real GDP decreases.

---

Definitions:

Environmental Stress

Physical, chemical, and biological constraints on the productivity and vitality of living organisms due to environmental conditions.

Serotonin

A vital substance in the brain that helps balance emotions and enhance sensations of happiness and overall well-being.

Identical Twins

Twins that develop from a single fertilized egg and share exactly the same genetic material, making them genetically identical.

Single Placenta

Refers to one placenta supporting the development of one or more fetuses, typical in the case of monozygotic (identical) twins.