A simultaneous increase in inflation and decrease in economic growth in a country can be associated with:
a. a decrease in aggregate demand with no change in aggregate supply.
b. an increase in aggregate demand and aggregate supply.
c. an increase in aggregate supply with no change in aggregate demand.
d. a decrease in aggregate supply and aggregate demand.
e. a decrease in aggregate supply with no change in aggregate demand.
e
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Refer to the scenario above. Collectively, the firms will be better off if:
A) Firm 1 chooses to dump its waste into the river while Firm 2 chooses not to dump its waste. B) Firm 2 chooses to dump its waste into the river while Firm 1 chooses not to dump its waste. C) both firms choose to dump their waste into the river. D) neither of the firms dumps its waste into the river.
If you earn and spend $300 per week and maintain an average cash balance of $100 per week, your velocity of money is
A) $100. B) $200. C) 3. D) 2.