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    Macroeconomics Study Set 44
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    Exam 19: What Macroeconomics Is All About
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    Economic Booms Can Cause Problems as Well as Create Benefits
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Economic Booms Can Cause Problems as Well as Create Benefits

Question 3

Question 3

Multiple Choice

Economic booms can cause problems as well as create benefits because they are often accompanied by


A) pressure on the government budget deficit to rise.
B) excessive labour- force participation.
C) deflationary pressures.
D) inflationary pressures.
E) rising real interest rates.

Correct Answer:

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