Multiple Choice
The tendency for inflation to change relatively slowly from year to year in industrial countries is called:
A) the inflation gap.
B) inflation expectations.
C) inflation inertia.
D) potential inflation.
Correct Answer:

Verified
Correct Answer:
Verified
Q107: Starting from long-run equilibrium, the long-run impact
Q108: Higher rates of inflation reduce planned spending
Q109: Starting from long-run equilibrium, a favorable inflation
Q110: The self-correcting tendency of the economy means
Q111: Inflation inertia is the tendency for inflation
Q113: Starting from long-run equilibrium, a large increase
Q114: The aggregate demand curve shifts to the
Q115: Refer to the given figure. <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6547/.jpg"
Q116: Starting from long-run equilibrium, the long-run impact(s)of
Q117: An upward shift in the Fed's reaction