Which theory says that inflation occurs when the demand for goods exceeds the existing supply?

(A) Quantity theory
(B) Demand-pull theory
(C) Cost-push theory
(D) Supply-and-demand theory

Ans: (B) Demand-pull theory

Economics

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Movement of money to another country for fear of a sudden loss of value is

a. conditionality b. default c. debt service d. capital flight e. none of the above

Economics

What famous economist said that the market economy seemed to be controlled by an invisible hand?

a. Alfred Marshall. b. Adam Smith. c. Karl Marx. d. Robert L. Heilbroner.

Economics