What is the major cost associated with fighting ongoing inflation?
a. Higher interest rates.
b. Lost potential output.
c. Lower price level.
d. Higher price level.
e. None of the above.
B
Economics
You might also like to view...
Explain what would happen to the equilibrium price and quantity of pineapples if the supply of pineapples decreased while the demand for pineapples increased
What will be an ideal response?
Economics
Assume the following situation. In year 1, a $400 capital stock generates a $100 GDP. One-fifth, or $20 of the $100 GDP, is put into investment. The capital/output ratio in year 1 is
a. 0.25 b. 1 c. 4 d. 100 e. 400
Economics