Suppose There Is a Temporary Supply Shock Because of a War

question 40

Multiple Choice

Suppose there is a temporary supply shock because of a war in the Middle East,then ________.

• A)this would constitute a cost push shock due to a restriction in the supply of oil
• B)the AS curve would shift to the left
• C)this could theoretically lead to stagflation
• D)all of the above
• E)none of the above

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Definitions:

Multidirectionality

The concept that human development and abilities can grow or decline in multiple directions at different times.

Context

The circumstances or setting surrounding a situation, event, or idea, which can significantly affect its meaning or interpretation.

Plasticity

The brain's ability to change and adapt as a result of experience, including growth and reorganization.

Physical Therapy

A branch of rehabilitative health that uses specially designed exercises and equipment to help patients regain or improve their physical abilities.