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castortr0y [4]
2 years ago
12

A.

History
1 answer:
emmainna [20.7K]2 years ago
3 0

Answer:

C. command

Explanation:

Command economic system is a place where the government of a particular country determines the economic activities going on in the country. For example, the quantity of goods to be produced and the price at which those goods would be sold to the citizens.

<em>Since the government determines everything, they would be able to fix the range of incomes of its people through its uniform distribution of resources.</em>

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When people have more money and eagerly spend it, this increases demand, whereas demand-pull leads to inflation.

<h3>What is demand-pull inflation?</h3>

Demand-pull inflation is a monetary phenomenon where demand exceeds supply and increases prices.

  • When the prices of raw materials/labor increase, it leads to an increase in the costs of production and results in higher prices for the consumers.

In conclusion, when people have more money and eagerly spend it, this increases demand, whereas demand-pull leads to inflation.

Learn more about demand-pull inflation here:

brainly.com/question/22872023

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