Which of the Following Is NOT a Potential Start of a Demand-

question 168

Multiple Choice

Which of the following is NOT a potential start of a demand- pull inflation?

• A)An increase in the quantity of money
• B)An increase in the money wage rate
• C)An increase in government expenditure
• D)An increase in exports

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Definitions:

Recession

A period of temporary economic decline during which trade and industrial activity are reduced, generally identified by a fall in GDP in two successive quarters.

Congress

The national legislative body of the United States, consisting of the Senate and the House of Representatives.

Individual Choices

The decisions made by individuals based on preferences, income, and prices that determine what goods and services they acquire.

Economic Capability

The ability of an individual, company, or country to produce goods or services efficiently, using available resources and technology.