In a demand- pull inflation, money wage rates rise because
A) a decrease in aggregate demand creates a labor shortage.
B) an increase in aggregate demand creates a labor surplus.
C) a decrease in aggregate demand creates a labor surplus.
D) an increase in aggregate demand creates a labor shortage.
Correct Answer:
Verified
Q36: A demand- pull inflation initially is characterized
Q37: If the Fed responds to an initial
Q38: A demand- pull inflation requires persistent increases
Q39: Demand- pull inflation persists because of
A) continuing
Q40: A one- time rise in the price
Q42: In a demand- pull inflation, if the
Q43: In the above figure, the economy initially
Q44: If the Fed responds to an increase
Q45: In the above figure, suppose the economy
Q46: 
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