An Increase in Inflationary Expectations That Causes an Increase in the Growth

question 96

Multiple Choice

An increase in inflationary expectations that causes an increase in the growth rate of firms' prices shifts the:

• A) aggregate demand curve to the right.
• B) aggregate supply curve to the left.
• C) aggregate demand curve to the left.
• D) aggregate supply curve to the right.

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Definitions:

Adenine

One of the four nucleobase molecules used in forming nucleotides of the nucleic acids DNA and RNA; it pairs with thymine in DNA and with uracil in RNA.

Thymine

A nitrogenous base found in DNA, paired with adenine, and is one of the four nucleotide bases in DNA.

Nucleosomes

Fundamental subunits of chromatin, composed of a segment of DNA wound around a core of histone proteins, facilitating DNA packing in the cell nucleus.

Histones

Proteins that package and order DNA into structural units called nucleosomes, playing key roles in gene regulation.