What Would Cause Inflation to Rise and Employment to Increase

question 28

Multiple Choice

What would cause inflation to rise and employment to increase?

• A) a shift of the AS curve to the left
• B) a shift of the AD curve to the left
• C) a shift of the AS curve to the right
• D) a shift of the AD curve to the right

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Definitions:

Nonrival in Consumption

A characteristic of some goods or services where one person's consumption does not reduce availability for others.

Marginal Cost

The additional cost incurred by producing one more unit of a product or service, a key concept used in decision-making and pricing strategies.

Public Good

A good that is non-excludable and non-rivalrous, meaning individuals cannot be effectively excluded from its use and one person's use does not reduce availability to others.

Grocery Store

A retail store that sells food and other household goods.