When there is an abrupt increase in the rate of inflation,
a. the actual rate of inflation will tend to fall below the natural rate.
b. the actual rate of inflation will tend to rise above the natural rate.
c. the actual and natural rate of inflation will generally be equal.
d. the natural rate of unemployment will tend to rise.
A
Economics
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When the total utility from consuming one good is maximized, marginal utility is
A) maximized. B) minimized. C) zero. D) positive.
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An economy's aggregate demand curve shifts leftward or rightward by more than changes in initial spending because of the:
A. net export effect. B. wealth effect. C. real-balances effect. D. multiplier effect.
Economics