When Inflation Rises,people Tend to Go to the Bank

question 82

Multiple Choice

When inflation rises,people tend to go to the bank

• A)more often,giving rise to menu costs.
• B)more often,giving rise to shoeleather costs.
• C)less often,giving rise to redistribution costs.
• D)less often,thereby lessening the severity of the inflation tax.

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Definitions:

Balance Theory

A theory suggesting that individuals strive for psychological consistency in their relationships and beliefs, attempting to maintain a harmonious balance in their feelings and thoughts.

Cohesive Group

A group characterized by a strong sense of unity and allegiance among its members, which often leads to high levels of group loyalty and productivity.

Charismatic Leader

An individual in a leadership role who exhibits boldness and self-confidence and emphasizes the greatness of the ingroup.

Confidence

The feeling or belief that one can rely on someone or something; firm trust and self-assurance in one's powers or abilities.