Which of These Is Most Likely to Result When a Demand-Management

question 149

Multiple Choice

Which of these is most likely to result when a demand-management policy is used in an economy that is experiencing stagflation?

• A) a decrease in investment spending
• B) an increase in the rate of inflation
• C) an increase in unemployment
• D) a decrease in the rate of inflation
• E) a decrease in real GDP

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