If an economy is experiencing inflation, aggregate demand is above full-employment and the government will increase spending and decrease taxes.
Answer: Option B
<u>Explanation:</u>
The inflationary gap occurs when total demand is greater than the level of the outcome at full employment. Therefore, inflationary gap is the estimation of the excess amount of total demand over total supply at full employment. The hike in the amount of discretionary income for both consumers and business results from the government’s expansionary fiscal policy.
When government or pivotal authority slit taxes the investment for capital improvement, new hiring or employee’s payment reimbursement is processed by businesses and consumers may spend more for buying goods. The government can also encourage economy by investing in infrastructure projects. Such actions can result in a price hike due to the high demand for goods and services.
Ommmmmggg thank youoyyy!!!! have a nice day lovely!!
The correct answer is "raise" your prices.
You need cotton to produce clothing and if it becomes more expensive then your manufacturing becomes more expensive and you need to increase your prices so as not to lose money when making.
Answer:
The history of Cuba is characterized by dependence on outside powers—Spain, the US, and the USSR. The island of Cuba was inhabited by various Amerindian cultures prior to the arrival of the Genoese explorer Christopher Columbus in 1492. After his arrival on a Spanish expedition, Spain conquered Cuba and appointed Spanish governors to rule in Havana. The administrators in Cuba were subject to the Viceroy of New Spain and the local authorities in Hispaniola. In 1762–63, Havana was briefly occupied by Great Britain, before being returned to Spain in exchange for Florida. A series of rebellions during the 19th century failed to end Spanish rule and claimed the lives of hundreds of thousands of Cubans. However, the Spanish–American War resulted in a Spanish withdrawal from the island in 1898, and following three-and-a-half years of subsequent US military rule,[1] Cuba gained formal independence in 1902.[2]
Explanation:
i don´t know if it is not right