Inflation & Expansions

Fill in the Blanks

True or False: EVERYTHING has gone up in price since the 1950s (excluding wages)

Open Ended

Provide a current example of inflation

Match

Match the following types/causes of inflation to their correct definition

• Wage/Price Spiral

• Demand Pull Inflation

• Cost Push

  Inflation

• Excessive Monetary Growth

Prices & Wages are trapped in an endless cycle of growth/changes

GOOD inflation, shows economic growth or expansion

BAD inflation, shows lost of resources.

Printing more cash (growing money supply) faster than REAL GDP

• Prices & Wages are trapped in an endless cycle of growth/changes

• GOOD inflation, shows economic growth or expansion

• BAD inflation, shows lost of resources.

• Printing more cash (growing money supply) faster than REAL GDP

Open Ended

Why is printing money not a solution to fix an economy?

Multiple Choice

Which of the following is a characteristic of Stagflation

• HIGH GDP

• Cost Push Inflation

• Low unemployment

• New technology

Open Ended

Explain the difference between deflation & inflation in 10 words or less.

​COMPLETE THE TYPES OF INFLATION TABLE ON THE BACK OF YOUR NOTES

Open Ended

What are 4 categories of the December 2016 CPI basket of goods.

Match

Match the following USA inflation rates

• 2%

• -.8%

• 10%

USA GOAL

Recession

Expansion/Growth

• USA GOAL

• Recession

• Expansion/Growth

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