The Recession of 1973-1975 Was Unusual in That Both Inflation

question 130

Multiple Choice

The recession of 1973-1975 was unusual in that both inflation and unemployment increased at the same time.This suggests that the primary cause of the recession was an

• A)inward shift of the aggregate demand curve.
• B)outward shift of the aggregate supply curve.
• C)inward shift of the aggregate supply curve.
• D)outward shift of the aggregate demand curve.

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