A. Reduce the cost of living
B. Reduce the standard of living
C. Reduce the price of products
D. Reduce the purchasing power of a rupee
Correct Answer: Reduce the price of products ✔
Last Updated: June 11, 2019
Related MCQs
- According to the Phillips curve unemployment will return to the natural rate when ?
- Menu costs in relation to inflation refers to ?
- An increase in costs will ?
- An increase in injections into the economy may lead to ?
- Demand pull inflation may be caused by ?
- If borrowers and lenders agree on a nominal interest rate and inflation turns out to be less than they had expected ?
- Under which of the following conditions would you prefer to be the lender ?
- Which of the following statements is correct ?
- If the nominal interest rate is 7 percent and the inflation rate is 3 percent, then the real interest rate is ?
- Refer to Figure 24-1 What is the value of the basket in the base year ?
- The “basket” on which the CPI is based is composed of ?
- In 1989, the CPI was 124.0 in 1990, it was 130.7 What was the rate of inflation over this period ?
- The Phillips curve shows the relationship between inflation and what ?
- In the short run unemployment may fall below the natural rate of unemployment if ?
- The effect of inflation on the price competitiveness of a country’s products may be offset by ?
- An increase in aggregate demand is more likely to lead to demand pull inflation if ?
- If workers and firms agree on an increase in wages based on their expectations of inflation and inflation turns out to be more than they expected ?
- Under Which of the following conditions would you prefer to be the borrower ?
- If inflation is 8 percent and the real interest rate is 3 percent, then the nominal interest rate must be ?
- Suppose your income rises from Rs19,000 to Rs31,000 while the CPI rises from 122 to 169 Your standard of living has likely ?
- If there is an increase in the price of apples which causes consumers to purchase fewer kilograms of apples and more kilograms of oranges, the CPI will suffer from ?
- Which of the following would probably cause the CPI to rise more than the GDP deflator in the Pakistan ?
- Inflation can be measured by all of the following except the ?