According to New Keynesians, an increase in which of the following will tend to cause the inflation rate to increase?

Question

Quizplus · Accepted Answer

New Keynesians believe that inflation can be driven by factors such as anticipated future inflation, increases in firms' average inflation-adjusted per-unit costs of production, and unexpected increases in aggregate demand. All these factors can contribute to rising inflation rates by affecting expectations, costs, and demand pressures.

According to New Keynesians, an Increase in Which of the Following