Which of the Following Will Increase the Inflation Rate in the Medium

question 25

Multiple Choice

Which of the following will increase the inflation rate in the medium run?

• A) A permanent increase in the price of oil.
• B) A permanent increase in the minimum wage.
• C) A permanent increase in target inflation.
• D) A large budget deficit.
• E) A permanent fall in nominal money growth.

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Definitions:

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Deoxyribonucleic acid, a molecule that carries the genetic instructions used in growth, development, functioning, and reproduction of all known living organisms.

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The collection of fossils, which provides historical evidence of past life and evolution on Earth.

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