Textile materials with elastic demand
Alcoholic beverages with inelastic demand
Agricultural products with inelastic supply
Luxury goods with elastic supply
Correct answer is A
No explanation has been provided for this answer.
When a government cuts down her expenditure to reduce inflation, she has embarked on__________
A restrictive Fiscal policy
An expansionary monetary policy
Physical policy
Implementing budget deficit
Correct answer is A
No explanation has been provided for this answer.
An increase in cash ratio by the central bank will_______
Increase the supply of money
Increase banks lending
Encourage borrowing
Reduce the supply of money
Correct answer is D
No explanation has been provided for this answer.
Demand-pull inflation can be as a result of__________
Increase in the cost of production
Excessive supply of foodstuff
Deficit financing by the government
Increase in import duties
Correct answer is C
Demand-pull inflation is when there is an increase in aggregate demand, and the supply remains the same or decreases.
Demand-pull inflation can be caused by an expanding economy, increased government spending, or overseas growth.
Functions of money does not include______
Store of value
Medium of exchange
Standard of deferred payment
General acceptability
Correct answer is D
No explanation has been provided for this answer.