Increases in the Rate of Inflation Will Induce Consumers to Make

question 105

Multiple Choice

Increases in the rate of inflation will induce consumers to make more frequent trips to the bank to withdraw cash whenever the cost of the extra trips is __________ the benefit of holding less cash subject to purchasing power losses from inflation.

• A) greater than
• B) less than
• C) equal to
• D) greater than or less than
• E) twice the consumer price index times

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Definitions:

Behavioral Intention

The likelihood that a person will perform a given behavior based on their attitude and beliefs towards that behavior.

Subjective Norms

Subjective Norms involve an individual's perception of social pressure to perform or avoid a particular behavior, heavily influenced by the beliefs about what important people in their life think they should do.

Perceived Behavioral Control

An individual's belief about how easy or difficult it will be to perform a particular behavior.

Attitude Accessibility

The ease with which an attitude can be remembered or brought to mind.