Inflation Inertia Is Represented in the Aggregate Supply-Aggregate Demand Model

question 31

Multiple Choice

Inflation inertia is represented in the aggregate supply-aggregate demand model by continuing upward shifts in the:

• A) aggregate demand curve.
• B) short-run aggregate supply curve.
• C) long-run aggregate supply curve.
• D) aggregate demand and short-run aggregate supply curves.

---

Definitions:

Consolidated

Made stronger, more solid, or united; typically refers to the process of combining various elements into a single, coherent structure.

Short-Term Working Memory

A limited-capacity cognitive framework that temporarily preserves information for processing activities.

Episodic Memory

Episodic memory is the type of long-term, declarative memory that stores personal experiences and events, including the contexts and emotions associated with them.

Consciously Recalling

The deliberate process of bringing memories or information into awareness, an act of memory retrieval.