If Severe Demand-Pull Inflation Was Occurring in the Economy,proper Government

question 183

Multiple Choice

If severe demand-pull inflation was occurring in the economy,proper government policies would involve a government:

• A) deficit,the purchase of securities in the open market,a higher discount rate,and higher reserve requirements.
• B) deficit,the sale of securities in the open market,a higher discount rate,and lower reserve requirements.
• C) surplus,the sale of securities in the open market,a higher discount rate,and higher reserve requirements.
• D) surplus,the purchase of securities in the open market,a lower discount rate,and lower reserve requirements.

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Definitions:

Act Out

To behave badly or inappropriately, often in response to emotional stress or frustration.

Positive Punishment

The use of a physically or psychologically painful event as the punishment.

Spanking

A form of punishment that involves striking the buttocks, typically with the hand, as a disciplinary measure.

Punishing Stimulus

A stimulus that decreases the likelihood of a behavior recurring, often by inducing discomfort or an undesirable outcome following the behavior.