A current high rate of inflation will tend to promote a
A) low expected inflation and a low rate of actual inflation.
B) moderate expected inflation and a moderate rate of actual inflation.
C) high expected inflation and a high rate of actual inflation.
D) low expected inflation and a high rate of actual inflation.
E) built-in expectation of low inflation in the futurE.
Correct Answer:
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Q62: When there is a recessionary gap,inflation will
Q63: Inflation inertia is attributable to
A) inflation shocks
Q64: When there is an expansionary gap,inflation will
Q65: When an expansionary gap exists,actual output _
Q66: When actual output is less than potential
Q68: Expansionary output gaps are eliminated through
A) rising
Q69: The long-run aggregate supply line is
A) downward-sloping.
B)
Q70: Moderate expected inflation leads to _ increases
Q71: High expected inflation leads to _ increases
Q72: When a recessionary gap exists,actual output _
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