Introduction to Economics 2 Deneme Sınavı Sorusu #349942

Which of the following is defined as the situation in which prices increase while production decreases?


Cost-push inflation

 

Price stability

 

Aggregate supply curve

 

Stagflation

Demand-pull inflation


Yanıt Açıklaması:

With rising input prices, general price level increases (inflation) while production decreases and unemployment increases (stagnation). This process in which prices and unemployment increase at the same time is known as stagflation (inflation in stagnation).

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