The situation with increasing unemployment and inflation is terms as ?
Correct answer: C. Stagflation
- A. Hyperinflation
- B. Reflection
- C. Stagflation
- D. Galloping
Explanation
Stagflation combines stagnation, especially high unemployment or weak growth, with inflation. Hyperinflation refers only to an extremely rapid rise in prices, so it does not capture the unemployment feature.
Report an error
The more specific you are, the faster it gets fixed. A source beats an opinion.
Prefer email? [email protected]
About Macroeconomics
The economy is studied as a whole through national income, gross domestic product, inflation, unemployment, economic growth and business cycles. Coverage includes aggregate demand and supply, consumption and investment, money and banking, fiscal and monetary policy, exchange rates and balance of payments, which distinguishes macroeconomics from the study of individual markets.
Practise Macroeconomics
1,499 free Macroeconomics MCQs from Economics, each with the correct answer and an explanation. Unlimited attempts, no account needed.
Discussion
Stuck on an option, or know a faster way to get there? Ask or explain it here.
No comments yet. Be the first to explain this one.
Exams that ask Economics questions like this
Economics is on 3 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.
More Macroeconomics questions
Which of the following must always balance ?
The period of high inflation and low economic growth is termed as ?
Devaluation means ?
Term the average income of the people of a country during a year ?
Currency that is expected to drop in value relative to other currencies is called ?
Gross Domestic Product (GDP) is__________________?