When There Is a Recession (A Fall in Output)and Prices

question 135

Multiple Choice

When there is a recession (a fall in output) and prices are increasing, and this situation is caused by adverse supply shocks, the term economists use to describe it is

• A) aggregate shifts.
• B) stagnation.
• C) inflation.
• D) stagflation.

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Definitions:

Scatterplot

A graphical representation of two variable data points which helps in determining the relationship between them.

Correlation

A quantifiable measure that reflects how closely two or more variables are related in terms of their movements.

Size of The Blaze

The size of the blaze refers to the extent or area that a fire has covered or is covering, denoting the magnitude of the fire incident.

Consumer Price Index

An index measuring the change in the price level of a basket of consumer goods and services purchased by households.