The Complexity in Recognizing the Type of Inflation

question 153

Multiple Choice

The complexity in recognizing the type of inflation:

• A)arises because demand-pull inflation always follows the cost-push inflation.
• B)arises because sometimes the original source of inflation is unknown.
• C)arises because cost-push inflation always follows the demand-pull inflation.
• D)arises because demand-pull inflation is self-limiting while cost-push inflation will continue as long as there is excess spending.

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Definitions:

Labour Hour

A measure of work effort, typically used in costing to allocate overhead based on the number of hours worked.

Competitive Bidding

The process where various suppliers or contractors submit their bids to win a contract, often used to ensure fairness and value in public and private procurement.

Sealed Bid

A method of bidding where all bids are submitted sealed and opened at an appointed time, ensuring that no bidder knows the amount of the other bids during the bidding process.

Contractor Selection

The process of evaluating and choosing the most suitable contractor for a specific project based on criteria like price, quality, and reliability.