66. Which of the following describes the cause of a sustained inflation? an aggregate demand shock significant enough to cause a substantial rise in the price level the monetary transmission mechanism an aggregate supply shock significant enough to cause a substantial rise in the price level continual monetary expansion simultaneous AD and AS shocks

Various causes leads to sustainable expansion.

Answered: Which of the following describes the…

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Which of the following describes the cause of a sustained inflation?

ECON MACRO

5th Edition

ISBN:9781337000529

Author:William A. McEachern

Publisher:William A. McEachern

Chapter10: Aggregate Supply

Section: Chapter Questions

Problem 2.4P

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Question

66. Which of the following describes the cause of a sustained inflation?

		an aggregate demand shock significant enough to cause a substantial rise in the price level
		the monetary transmission mechanism
		an aggregate supply shock significant enough to cause a substantial rise in the price level
		continual monetary expansion
		simultaneous AD and AS shocks

Definition Definition Total supply of goods and services in an economy at a certain price level in a specific time period.

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