Demand-Pull Inflation May Be Defined as an Excessive Demand for Goods

question 77

True/False

Demand-pull inflation may be defined as an excessive demand for goods and services during periods of economic expansion as a result of large increases in the money supply.

---

Definitions:

Raw Materials

Basic substances in their natural, modified, or semi-processed state, used as inputs for production.

Annual Rate of Return

The percentage of profit or loss on an investment over a one-year period.

How Much Decision

A consumer's determination of the quantity of a good or service to purchase, balancing the marginal utility and the price.

Total Revenues

The total amount of money generated by a firm from its sales activities before any costs or expenses are subtracted.