In the Long Run, Inflation Is Caused by

question 10

Multiple Choice

In the long run, inflation is caused by

• A)governments that raise taxes so high that it increases the cost of doing business and, hence, raise prices.
• B)banks that have market power and refuse to lend money.
• C)None of these answers.
• D)governments that print too much money.
• E)increases in the price of inputs, such as labour and oil.