In Periods of High Inflation

question 59

Multiple Choice

In periods of high inflation,

• A)people want to hold as much money as possible
• B)the purchasing power of money is decreasing
• C)nobody wants to work and earn income
• D)low nominal interest rates are likely to result
• E)nobody wants to buy goods and services

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Definitions:

Stimulus-Response

A concept in psychology that describes a specific stimulus leading to a particular response in an organism.

Behaviourism

This is a theory of learning based on the idea that all behaviors are acquired through conditioning, emphasizing external behaviors rather than internal processes.

Internal States

Refers to the mental and emotional conditions or processes within an individual, such as feelings, thoughts, and mood, that are not observable by others.

B. F. Skinner

An American psychologist known for his work in behaviorism and for developing the theory of operant conditioning.