An Increase in _____ Will Shift the SRAS Curve

question 222

Multiple Choice

An increase in _____ will shift the SRAS curve.

• A) actual inflation, but not expected inflation
• B) expected inflation, but not actual inflation
• C) both actual inflation and expected inflation
• D) neither actual inflation nor expected inflation

---

Definitions:

Downward Trend

A sustained decrease in a particular economic indicator, such as stock prices, GDP, or employment levels, over a period time.

Unemployment Rate

The share of the workforce population that is unemployed and actively searching for job opportunities.

Employed

Refers to individuals who are currently holding a job or position, contributing to the workforce.

Misery Index

An economic indicator calculated by adding the unemployment rate to the inflation rate, aiming to measure economic distress felt by everyday people.