A statement that is often used to describe demand-pull inflation is:
A) "A rising tide lifts all boats"
B) "Money is easily earned, but not easily saved"
C) "Too much money chasing too few goods"
D) "There is no such thing as a free lunch"

Question

Quizplus · Accepted Answer

The statement "Too much money chasing too few goods" is commonly used to describe demand-pull inflation, which occurs when the demand for goods and services exceeds the supply, leading to an increase in prices. This can happen when there is an increase in consumer spending, government spending, or investment.

A Statement That Is Often Used to Describe Demand-Pull Inflation