What statement is correct? a) the money supply does not play a role in sustained inflation. b) inflation initiated by an increase in money supply is referred to as demand-pull inflation. c) inflation initiated by an increase in aggregate demand because of government spending is referred to as demand-pull inflation. d) in order to avoid “crowding-out” after the government has increased government spending, the fed often decreases the money supply in order to lower the interest rates.

The right answer is C. Demand-pull inflation occurs, for example, when a government spends a great deal of money. This causes the aggregate demand (the total demand for final goods and services) to grow rapidly and eventually surpass the aggregate supply, and, consequently, prices go up (inflation).    

C)Inflation initiated by an increase in aggregate demand because of government spending is referred to as demand-pull inflation.

answer: 1

explanation:

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what started the norman conquest?

profound political, administrative, and social changes in the british isles. last line of my information: )