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  3. Study Set
    Macroeconomics Study Set 39
  4. Exam
    Exam 5: Inflation: Its Causes, Effects, and Social Costs
  5. Question
    Inflation ______ the Variability of Relative Prices and ______ Allocative
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Inflation ______ the Variability of Relative Prices and ______ Allocative

Question 35

Question 35

Multiple Choice

Inflation ______ the variability of relative prices and ______ allocative efficiency.


A) increases; increases
B) increases; decreases
C) decreases; decreases
D) decreases; increases

Correct Answer:

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