Which of the following is true about inflation?
a. Inflation promotes social harmony by uniting people against the government.
b. Inflation is more damaging if it is anticipated.
c. Accurate anticipation of inflation is possible for everyone who is well informed about economic events.
d. Those who lend money at a rate below the rate of inflation suffer economic losses.
e. If people accurately anticipate inflation, their actions will prevent it.
d
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The aggregate demand curve
A) is like individual demand curves in that prices of other goods are held constant. B) is like individual demand curves in that income is constant. C) differs from individual demand curves in that the aggregate demand curve is not downward sloping. D) differs from individual demand curves in that the aggregate demand curve looks at the entire circular flow of income and product while the individual demand curve looks at only one good.