Which of the Following Would Likely NOT Cause Inflation

question 89

Multiple Choice

Which of the following would likely NOT cause inflation?

• A) Government prints money to finance its budget shortfall.
• B) Consumer confidence falls due to global economic concerns.
• C) The housing market recovers and home sales rise.
• D) Poor weather patterns lead to a supply shock in the farming industry.

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Definitions:

Limbic System

A complex system of nerves and networks in the brain, involving several areas near the edge of the cortex concerned with instinct and mood.

Efferent Signals

Signals that move away from the central nervous system to the body, instructing muscles to contract or glands to secrete.

Afferent Signals

Signals transmitted from sensory receptors towards the brain or spinal cord.

Motor Functions

The physical movements and actions that are produced by the muscles and motor neurons of the body.