This will reduce demand and may lead more deflation

4. Cash Reserve Ratio

5. Open Market Operations

3. A reduction in government spending.

4. A reduction supply and increased in demand.

2. Reduces the price of products.

3. Reduces the purchasing power of a country.

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

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

4. Shift aggregate demand

• When people change jobs or enter the workforce

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

Unemployment

4. 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