If Households and Firms Expect Higher Rates of Inflation, the ______

question 68

Multiple Choice

If households and firms expect higher rates of inflation, the ______ curve will shift _____.

• A)AD; rightward
• B)AS; rightward
• C)AS; leftward
• D)AD; until it becomes vertical

---

Definitions:

Intergenerational Relationships

Relationships between people of different generations, which can provide valuable life lessons, cultural exchange, and emotional support.

Emotionally Close

Describes a relationship characterized by strong, supportive, and affectionate bonds between individuals.

Newly Formed

Pertains to something that has recently come into existence or has been recently established or created.

Borderline Personality Disorder

A mental health disorder characterized by unstable moods, behavior, and relationships.