What are the 2 basic lessons learned about the redistributive effects of price changes?
What will be an ideal response?
1) not all prices rise at the same rate during an inflation
2) not everyone suffers equally from inflation
Economics
You might also like to view...
You earn $500 a month, currently have $200 in currency, $100 in your checking account, $2,000 in your savings accounts, $3,000 worth of illiquid assets and $1,000 of debt. You have
A) money = $2,300, annual income = $6,000, and wealth = $5,000. B) money = $300, annual income = $6,000, and wealth = $4,300. C) money = $300, annual income = $6,000, and wealth = $5,000. D) money = $200, annual income = $500, and wealth = $4,300.
Economics
Explain the practice of resale price maintenance and discuss why it is controversial
Economics