Inflation/poverty/ unemployment

What causes cost push inflation

• An increase in demand for goods and services
• An increase in supply
• A rise in production costs passed on to consumers
• A fall in the price of imports

When inflation is high the _______________of the dollar decreases

• cost value
• purchasing power
• importance
• validity

If CPI goes from 100 to 300 and your salary goes from $100,000 to $200,000, what happened to your purchasing power?

• Increase
• Decrease
• No change

What is inflation?

• rise in all prices
• rise in most prices
• rise in some prices
• rise in general prices

An index that measures the prices of a market basket of goods that typical consumers purchase.

• Consumer Price Index
• Federal Reserve
• Bank
• Deflation

You have $5000 worth of debt

• Helped
• Hurt
• Uncertain

You sign a 3 year, non adjustable lease for an apartment

• Helped
• Hurt
• Uncertain

The bank gives you a loan anticipating 5% inflation, and 8% occurs

• Helped
• Hurt
• Uncertain

You get a loan and the bank expects 5% inflation and the overall inflation rate is 5%

• Helped 
• Hurt
• Neither

Demand-Pull inflation can be describes as too many _________ chasing too few __________

• jobs, workers
• consumers, producers
• dollars, goods