Figure 16-2
-Refer to Figure 16-2. Which of the following represents a stagflation phase?
A) The movement from A to B
B) The movement from B to C
C) The movement from C to D
D) The movement from A to C

Question

Figure 16-2 
-Refer to Figure 16-2. Which of the following represents a stagflation phase?
A) The movement from A to B 
B) The movement from B to C 
C) The movement from C to D 
D) The movement from A to C

Quizplus · Accepted Answer

Stagflation is characterized by a stagnant or slow-growing economy (represented by the horizontal axis) and rising prices (represented by the vertical axis). The movement from B to C shows a period of stagnant growth and increasing inflation, indicating a stagflation phase.

Figure 16-2 -Refer to Figure 16-2. Which of the Following Represents a Following