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A Simultaneous Increase in Inflation and Decrease in Economic Growth

Question 51

Multiple Choice

A simultaneous increase in inflation and decrease in economic growth in a country can be associated with:


A) a decrease in aggregate demand with no change in aggregate supply.
B) an increase in aggregate demand and aggregate supply.
C) an increase in aggregate supply with no change in aggregate demand.
D) a decrease in aggregate supply and aggregate demand.
E) a decrease in aggregate supply with no change in aggregate demand.

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