Question: Changes in the AD-AS model in the short run Google Classroom Problem Which of the following unambiguously leads to inflation? Choose 1 answer: Choose 1

Changes in the AD-AS model in the short run Google Classroom Problem Which of the following unambiguously leads to inflation? Choose 1 answer: Choose 1 answer: (Choice A) Lower expectations of inflation and fewer exports A Lower expectations of inflation and fewer exports (Choice B) An increase in government regulations on production and a decrease in business optimism that decreases the demand for capital B An increase in government regulations on production and a decrease in business optimism that decreases the demand for capital (Choice C) A decrease in the rental price of capital and an increase in government spending C A decrease in the rental price of capital and an increase in government spending (Choice D) An increase in wages and an increase in consumer spending D An increase in wages and an increase in consumer spending (Choice E) An increase in expectations of inflation and a decrease in investment spending E An increase in expectations of inflation and a decrease in investment spending

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