In a Demand-Pull Inflation,money Wage Rates Rise Because

question 161

Multiple Choice

In a demand-pull inflation,money wage rates rise because

• A)a decrease in aggregate demand creates a labor shortage.
• B)an increase in aggregate demand creates a labor surplus.
• C)an increase in aggregate demand creates a labor shortage.
• D)a decrease in aggregate demand creates a labor surplus.
• E)an increase in aggregate supply creates a labor shortage.

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Definitions:

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