For a Very Long Time the Country of Tofu Has

Multiple Choice

For a very long time the country of Tofu has had an inflation rate of 8 percent. Suddenly its inflation rate drops to 3 percent. The drop in the inflation rate

A) could be due to slower money supply growth.We would expect unemployment to be higher.
B) could be due to slower money supply growth.We would expect unemployment to be lower.
C) could be due to higher money supply growth.We would expect unemployment to be higher.
D) could be due to higher money supply growth.We would expect unemployment to be lower.