What Do Many Economists Think Contributed to the Greater Than

question 128

Multiple Choice

What do many economists think contributed to the greater than 13% inflation rates experienced by the United States in the 1980s?

• A) The Fed was inflexible in its rule of 3% growth.
• B) The Fed did not do enough to increase money supply.
• C) The Fed overstimulated the economy with too much money in the 1970s.
• D) The Fed did not react to the oil shocks of the 1970s.

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Definitions:

Volatility Of Fuel Prices

describes the degree of variation in fuel prices over time, significantly impacting transport costs, and thus, overall logistics and supply chain expenses.

Customs Delays

Delays in the processing of goods through customs, generally caused by regulations, inspections, or documentation issues, impacting supply chain timelines.

Risk Mitigation Strategy

Plans and actions implemented to reduce or manage the potential negative impacts of identified risks on a project or business operation.

Predictable Demand

The level of product or service consumption that can be forecasted with a high degree of accuracy based on historical data and market analysis.