Which of the Following Would Cause Inflation to Fall but National

question 95

Multiple Choice

Which of the following would cause inflation to fall but national output to rise?

• A) An increase in aggregate demand.
• B) A decrease in consumption.
• C) A relatively higher increase in wages than the rate of inflation.
• D) An increase in aggregate supply.

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Definitions:

Bilateral Threat

A situation where two parties perceive each other as potential threats, often leading to escalated tensions or conflict.

Unilateral Threat

This term describes a situation where one party threatens to take action independent of others' preferences or actions.

Conflict Resolution

The process of resolving a dispute or disagreement between two or more parties in a constructive manner.

Communication

The exchange of information, ideas, thoughts, and feelings between two or more entities, through various modes such as voice, writing, or behavior.