Cost-Push Inflation

question 83

Multiple Choice

Cost-push inflation:

• A)occurs when the aggregate demand curve shifts rightward.
• B)occurs when the aggregate supply curve shifts rightward.
• C)results in a decrease in the unemployment rate.
• D)results in a movement along the aggregate demand curve.
• E)is caused by the same factors that lead to demand-pull inflation.

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Definitions:

Farm Incomes

The earnings from agricultural activities, considering the revenue from crop and livestock sales minus production costs.

U.S. Agricultural Industry

The sector of the United States economy that includes production, processing, and marketing of crops and livestock.

Supply And Demand

The economic model that describes how the price and quantity of goods and services are determined in a market based on the relationship between the amount available and the want for it.

Agricultural Products

Items produced through farming and agriculture, including crops, livestock, and other raw goods used for food, fabric, or industry.