Related to the Economics in Practice on p. 325: Surveys by the bank of England suggest that two important factors in influencing ________ are gas prices and media attention to price increases.
A) the income velocity of money
B) the stock of money
C) interest rates
D) consumer perceptions of inflation

Question

Quizplus · Accepted Answer

Gas prices and media attention to price increases are likely to affect consumer perceptions of inflation, which can in turn impact their spending and saving decisions. The income velocity of money, stock of money, and interest rates may also be influenced by factors such as inflation, but the survey specifically mentions gas prices and media attention to price increases as key drivers of consumer perceptions of inflation.

Related to the Economics in Practice on P