Multiple Choice
Demand-side inflation differs from supply-side inflation in the following way:
A) demand-side inflation has higher output; supply-side inflation has lower output.
B) demand-side inflation has lower output; supply-side inflation has higher output.
C) demand-side inflation is always followed by stagflation; supply-side inflation is always followed by demand-side inflation.
D) demand-side inflation has a self-correcting mechanism; supply-side inflation does not.
Correct Answer:
Verified
Correct Answer:
Verified
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