If, When Recovering from an Inflationary Period, the Inflation Rate

question 267

Multiple Choice

If, when recovering from an inflationary period, the inflation rate declines and the unemployment rate also declines, this could be the result of

• A) aggregate supply increasing at a faster rate than aggregate demand is decreasing.
• B) aggregate supply increasing at a slower rate than aggregate demand is decreasing.
• C) aggregate supply decreasing at a faster rate than aggregate demand is decreasing.
• D) aggregate supply decreasing at a faster rate than aggregate demand is increasing.

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Definitions:

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Generation X

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Service Sector

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