To prevent cost-push inflation
A. there must not be an excess demand for money.
B. interest rates must not rise.
C. there must not be an increase in government purchases.
D. the Fed must not let the quantity of money rise persistently.
Answer:D
To prevent cost-push inflation
A. there must not be an excess demand for money. B. interest rates must not rise. C. there must not be an increase in government purchases. D. the Fed must not let the quantity of money rise persistently.