Demand-Pull Inflation Is

question 290

Multiple Choice

Demand-pull inflation is

• A) inflation caused by increases in aggregate demand that generate an even larger increase in aggregate supply.
• B) inflation caused by increases in aggregate demand that are not matched by increases in aggregate supply.
• C) inflation caused by reductions in short-run aggregate supply.
• D) inflation caused by reductions in long-run aggregate supply.

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Definitions:

Prosperity

A state of being successful, especially in financial terms, marked by flourishing conditions and/or wealth.

Acceptance Theory

Suggests that the effectiveness of leadership or management depends on the consent and support of followers or workers.

Herzberg's Theory

A motivational theory dividing factors at work into two categories: hygiene factors, which can cause dissatisfaction, and motivators, which can create satisfaction.

Institutional Theory

A theory that emphasizes the role of institutions in shaping the behavior and decisions of individuals and organizations by establishing norms, values, and rules.