An increase in the rate of inflation:
A. can only result from increases in aggregate demand.
B. can result from shifts in either the dynamic aggregate demand curve or the short-run aggregate supply curve.
C. will result only if the long-run aggregate supply curve is vertical.
D. can only result from upward shifts in the short-run aggregate supply curve.
Answer: B
Economics
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President Woodrow Wilson
(a) fostered the growth of government bureaucracy. (b) quickly returned the U.S. economy to a competitive market place. (c) remained neutral on the issue of whether the federal government should intervene in private market affairs. (d) mandated that Congress operate with a balanced budget.
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