Which of the Following Is an Effect of Persistently High

question 44

Multiple Choice

Which of the following is an effect of persistently high wage and price inflation in the economy?

• A) Firms will substitute workers for capital equipment.
• B) Consumers will increase consumption and borrowing.
• C) The cost of production for firms will increase.
• D) The level of business confidence in the economy will increase.

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Definitions:

Transference

In psychoanalysis, the tendency for a patient or client to project positive or negative feelings for important people from the past onto the therapist.

Countertransference

In psychotherapy, it refers to the emotions and projections that the therapist may feel towards the patient.

Free Association

A psychoanalytic process in which patients express their thoughts freely, letting their mind wander without censorship, to uncover unconscious thoughts and feelings.

Fear of Women

An irrational fear or aversion to women, known as gynophobia.