Exhibit 14-8 Aggregate Demand and Supply

question 87

Multiple Choice

Exhibit 14-8 Aggregate demand and supply

In Exhibit 14-8, when aggregate demand shifts from AD₄ to AD₅, the economy experiences:

• A) cost-push inflation.
• B) cost-pull inflation.
• C) demand-push inflation.
• D) demand-pull inflation.

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Definitions:

Long-term Cultures

Societal or organizational cultures that prioritize and value long-term commitments, perseverance, and sustainability over short-term gains.

Honeymoon

A period of harmony and happiness following the commencement of a new project, job, or phase in life, often characterized by optimistic and positive feelings.

Irritation/Anger

Emotional responses typically characterized by annoyance or frustration, which can escalate to anger if not managed.

Small Victories

Achieving short-term, manageable goals that contribute to long-term objectives and boost morale among team members.