Disinflation Is Like

question 29

Multiple Choice

Disinflation is like

• A)slowing a car down,whereas deflation is like putting the car into reverse gear.
• B)maintaining a car's speed,whereas deflation is like slowing the car down.
• C)putting a car into reverse gear,whereas deflation is like slowing the car down.
• D)maintaining a car's speed,whereas deflation is like putting the car into reverse gear.

---

Definitions:

Aggregate Income

The total income earned by all individuals or entities in an economy, including wages, profits, rents, and investment earnings, over a specific time period.

Aggregate Consumption

The total amount of goods and services consumed in an economy over a specific period.

Consumption Function

A relationship in economic terms between the gross national income and the aggregate consumption level.

Aggregate Income

The total income earned by all factors of production in an economy, including wages, rents, interest, and profits, over a specific period.