15.______________Demand-pull inflation: FILL IN THE BLANK A) occurs when total spending in the economy is excessive. B) is measured differently than cost-push inflation. C) can be present even during an economic depression. D) is also called "hyperinflation. E) is also called deflation"

Q: Question 39 Menu costs of inflation O a) occur when people interpret nominal changes in prices as…

A: Menu cost is a type of cost which occurs due to inflation.

Q: pending (b) deacrese

A: Inflation primarily measures the average change in price of a basket of commodities and also the…

Q: A sustained decrease in the price level is known as: Select one: a. reflation. b. deflation. c.…

A:

Q: Consider an economy that starts out in steady state when the central bank decides to make the…

A: Inflation:- Inflation refers to decrease in purchasing powers to currency due to increase in price…

Q: 8. Demand-pull inflation could be a result of: none of the answers given is correct any one of the…

A: Demand-pull inflation is an economic phenomenon that occurs when the overall demand for goods and…

Q: When the inflation rate falls from 8% to 2% in an economy, its general price level is rising.

A: The inflation rate is the change in the general price level and it is positive means the general…

Q: At the beginning of the fiscal year the labour union was able to negotiate a 1% increase in wages.…

A: At the end of the year, wages increases by 1% and inflation increases by 3%. Hence, the money wage…

Q: a. Core inflation is the inflation that consumers feel when they buy their core products. b.…

A: In an economy, Inflation is a macroeconomic concept that is used to compare various economic…

Q: 2.Because it excludes food and energy prices, _______ inflation is more stable than _______…

A: As per the guidelines, incase of multiple questions we are allowed to answer the first question…

Q: 1) Answer these three sub-parts a) If an economy’s price level increases from year to year, its…

A: In economics, there is believed to be a direct relationship between the nominal money supply level…

Q: to replace higher cost goods with lower cost goods.

A: In a fixed weight price index,the quantities or weights tend to remain fixed and any change in the…

Q: Match the term to the definition: The sustained rise in the average price level over a period of…

A: A business cycle describes the changes or fluctuations in the economic activity of an economy that…

Q: QUESTION 46 The consumer price index was 177.1 in 2001 and 179.9 in 2002. Therefore, the rate of…

A: CPI is the consumer price index. The CPI is used to calculate the inflation rate. The CPI is…

Q: 1)Social loss is L=(u-5)^2+(pi-2)^2 Philips curve is u=6-(pi-pi_e), where pi is actual inflation…

A: The Phillips curve is a macroeconomic concept used to describe the one-to-one relationship between…

Q: Help please

A: Aggregate Demand: The Aggregate Demand (AD) can be defined as the total demand for all the final…

Q: The economy has part time workers of 30 million people, and full time workers of 160 million people.…

A: Part-time workers = 30 million. Full time workers = 160 millionpeople with no job and looking for a…

Q: New answerrr

A: The other options are not causes of cost-push inflation:Decrease in government spending: This can…

Q: A ______ inflation occurs when the the ____________ will shift to the right in the short run due to…

A: Cost Push inflation is the increase in prices due to high production cost and high  prices of raw…

Q: If the inflation rate is positive, the price level in an economy is Select one: O A. falling slowly.…

A: Inflation refers to the rate at which the average price level of an economy behaves.  An increase in…

Q: Assuming that the booming economy is currently at an inflation rate such that unemployment is below…

A: The macroeconomic equilbrium in an economy is determined by the aggregate demand and aggregate…

Q: identify one demand-pull factor and one cost-push factor then briefly explain whether you think the…

A: Inflation is the consistent rise in general price level over period of time . Inflation reduces the…

Q: Which of the following are true  1. Inflation squeezes profits. 2. Firms raise prices to offset…

A: Answer is given below

Q: Inflation Group of answer choices a. Means demand is falling and supply is rising. b. Is a general…

A: Here, the question is about Inflation. Thus, let's discuss all the facts and statements regarding…

Q: Which of the following is a cause of Cost-Push Inflation? a. Lower prices for raw materials

A: Cost push inflation arises from a decrease in aggregate supply, which is caused by an increase in…

Q: Banks extend many fixed-rate loans. Why? A farmer buys machinery with a fixed - rate loan to be…

A: Dear student, you have asked multiple sub-part questions in a single post. In such a case, I will be…

Q: ___________ inflation is caused by an increase in the cost of production, leading to higher prices…

A: Inflation is the sustained increase in the general price level of goods and services in an economy…

Q: 3. Which of the following characterises that Mr. Khalid was dismissed from his job due to a fall in…

A: Unemployment: Unemployment is an economic problem it includes all those individuals who are willing…

Q: Question 34 You earned $30,000 in 2009, and your salary rose to $80,000 in 2018. If the CPI rose…

A: We must analyse the purchasing power of your wage between 2009 and 2018, taking into account the…

Q: 2)  a) The official, measured rate of unemployment fluctuates around the economy’s natural rate of…

A: Unemployment rate:  It is the percentage of the labour force that is unemployed. Natural…

Q: With respect to the concept of inflation, it is correct to say that ________. options:   A)…

A: Inflation is the rate of increase in average price level of goods and services

Q: Demand-pull inflation occurs when: A) Costs of production decrease B) Aggregate demand exceeds…

A: To understand demand-pull inflation, it's crucial to grasp the relationship between aggregate demand…

Q: 2.1. Explain the changes in the following economic variables with proper justification during Peaks…

A: During peak business cycles, there is higher GDP, increasing growth rate and lower level of…

Q: Suppose that people expect inflation to equal 6 percent, but in fact, prices rise by 4 percent.…

A:

Q: d) Undesired investment occurs.

A: Demand-pull inflation is a situation of upward pressure on prices that is followed by a shortage in…

Q: Will the following lead to cost-push or demand-pull inflation? (a) The discovery of a large and…

A: Demand pull inflation in the country is triggered by a rise in the country’s total demand. The…

Q: Unanticipated inflation erodes the purchasing power of money. ___________ is hurt least by…

A: Unanticipated inflation erodes the purchasing power of money. ___________ is hurt least by…

Q: . Explain the difference between inflation, deflation and Hyperinflation. Provide examples for each.

A: Inflation: It refers to a sustained increase in the price of goods and services in the economy over…

Q: Question 21 Inflation is an increase in the ___     average hourly wage rate.     rate of growth…

A: The gross domestic product refers to the total production of goods and services over a period of…

Q: . _______________________ happens when the economy is producing at its potential and unemployment is…

A: In macroeconomics, economic fluctuations are generally studied using the concepts of aggregate…

Q: Which of the following economic changes are consistent with cost-push inflation? Check all that…

A: Cost-push inflation is inflation brought on by rising input costs, such as those for labour, raw…

Q: 10. Which of the following statements is true? a Cost-push inflation occurs as prices rise because…

A: Cost push inflation is a type of inflation occurs due to increases in the cost of wages and raw…

Q: Inflation implies that the level of all prices _____________________. options: 1) decrease…

A: Inflation refers to a rise in the general price level. It is an indicator that money loses its value…

Q: Why is it difficult for companies to be profitable under deflation? Explain by comparing the…

A: Inflation refers to the rate at which the average price level of all goods and service rises in the…

Q: Inflation does which of the following:   Question 36 options:   a)  hurts households who borrow…

A: Inflation does which of the following: Question 36 options:   a)  hurts households…

Q: Q24 The natural rate of unemployment is generally assumed to be Select one: a. the rate of…

A: In an economy natural rate of unemployment refers to the optimal level of unemployment thate occurs…

Unemployment and Cost of Unemployment

Unemployment is the state of being unemployed, even when an individual is actively seeking work opportunities. The unemployment rate refers to the percentage of the workforce that is currently unemployed.