Question

Which of the following is considered a cause of inflation?
A. Wages go down.
B. Producers raise prices to meet higher costs.
C. There is not enough money in the economy.
D. Demand is less than supply

Answer 1

I think it is C

Answer 2

It's b

Answer 3

B Of course.
This is exactly whats happening here in America now. Our president is misusing the money so the economy is hitting rock bottom.

Answer 4

Therefore industries have to raise prices.

Answer 5

So true.....@love_jessika15

Answer 6

But federal reserve changes the interest rates to control inflation. and the interest rate determines the money flow what am I missing?

Answer 7

What is one of the major problems caused by a high national debt?
A. It prevents the federal government from balancing the budget.
B. Money spent on servicing the debt causes prices to rise.
C. It prevents foreign governments from investing in U.S. businesses.
D. Money spent on servicing the debt cannot be spent on other things.

Answer 8

You are correct ankit. But C is the reason as to WHY producers have to raise prices.

Answer 9

It would be D. For the second one.

Answer 10

Yeah you are correct, probably with the given options B is the most direct reason!

Answer 11

These questions are confusing. probably I should revise economics again! I was thinking it to be B for second one

Answer 12

B gir