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This will reduce demand and may lead more deflation

  1. Cash Reserve Ratio

  2. Open Market Operations

  1. A reduction in government spending.

  2. A reduction supply and increased in demand.

  1. Reduces the price of products.

  2. Reduces the purchasing power of a country.

  1. An outward shift of aggregate demand and cost-push inflation

  2. An outward shift in aggregate supply and demand-pull inflation

  1. Shift aggregate demand

  • When people change jobs or enter the workforce

  • The Philip’s curve shows the relationship between inflation and what?

Unemployment

  1. An increased in supply and demand

  • Increase in wages will result in:

  • An outward shift in demand curve will lead to:

  1. Demand pull inflation

  1. True

  2. False

  1. True

  2. False

  1. True

  2. False

  1. True

  2. False

  1. True

  2. False

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