Demand-pull inflation is the result of excessive pressure on the demand side of the economy.
Answer the following statement true (T) or false (F)
True
When there is too much demand relative to supply in the overall economy, there will be demand-pull inflation.
Economics
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Suppose that a new seed technology improves corn yield by 20%. What is the market effect of that new technology?
A. A shift to the left of the supply curve that causes an increase in the price of corn. B. A shift to the left of the demand curve that causes a decrease in the price of corn. C. A shift to the right of the demand curve that causes an increase in the price of corn. D. A shift to the right of the supply curve that causes a decrease in the price of corn.
Economics
What is the law of diminishing returns? Why is this proposition called a "law"?
What will be an ideal response?
Economics