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    Macroeconomics Study Set 39
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    Exam 14: Aggregate Supply and the Short-Run Tradeoff Between Inflation and Unemployment
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    Inflation Inertia Refers to the Idea That Inflation
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Inflation Inertia Refers to the Idea That Inflation

Question 92

Question 92

Multiple Choice

Inflation inertia refers to the idea that inflation:


A) is always present in economies.
B) keeps on going unless something acts to stop it.
C) cannot be reduced unless unemployment is increased.
D) can be generated by either demand-pull or cost-push forces.

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