The Term Stagflation Refers To

Multiple Choice

The term stagflation refers to:

A) a simultaneous reduction in output and the price level.
B) a simultaneous increase in output and the price level.
C) a decline in the price level accompanied by increases in real output and employment.
D) an increase in the price level accompanied by decreases in real output and employment.
E) a simultaneous increase in both the trade deficit and the budget deficit.