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:

Bureaucratic Organizations

Organizations characterized by formal procedures, hierarchy, and a clear division of labor intended to increase efficiency.

Transnational Corporations

Large companies that operate and have assets or production facilities in more than one country, often exerting significant economic influence across national borders.

Virtual Goods

Items that are purchased in digital form, often within online communities or video games, which have no physical existence yet hold value for the purchaser.

Traditional Sweatshops

Workplaces that have very poor, socially unacceptable working conditions and may exploit workers.