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Stagflation cause a decrease in which of the following? a) real output b) average price level c) market equilibrium

Stagflation cause a decrease in which of the following? a) real output b) average price level c) market equilibrium
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Stagflation cause a decrease in which of the following?

a) real output
b) average price level
c) market equilibrium

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User Shakila
by
7.8k points

2 Answers

4 votes
Stagflation is caused by cost push inflation, which occurs when costs of production are increased. The only option that is involving cost is option B so that's what I'd choose. I hope this helped!
answered
User Baximilian
by
7.9k points
5 votes

Answer:a. Real output

Step-by-step explanation:

Correct on accelus

answered
User Adam Rice
by
7.5k points
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