Which of the Following Is Consistent with Constant Inflation: Expected

question 12

Multiple Choice

Which of the following is consistent with constant inflation: expected future inflation of , output- gap inflation of , and supply- shock inflation .

• A)2%; 2%; 2%
• B)1%; 1%; 1%
• C)2%; 0%; 0%
• D)2%; 0%; - 2%
• E)0%; 0%; - 2%

---

Definitions:

Income Distribution

The way in which total income is shared among individuals or households within an economy.

Noncash Transfers

Types of government assistance such as food stamps and housing vouchers that provide benefits other than direct cash payments.

Income Inequality

Income inequality refers to the unequal distribution of income among a population, often measured using various statistical methods to illustrate disparities in wealth.

Housing Subsidies

Financial assistance provided by a government or organization to help individuals or families afford housing, typically to reduce housing expenses to a manageable level.