Macroeconomic models indicate that persistent supply-chain bottlenecks can trigger cost-push inflation, _______ consumer purchasing power.
Answer and explanation
Correct answer: C. attenuating
- Step 1: Evaluate the economic consequence of cost-push inflation on the real value of consumers' disposable income.
- Step 2: Inflation increases the price level of goods and services, thereby weakening, reducing, or diminishing real buying power. The participle "attenuating" means reducing the strength, value, or effect of something.
Answer
attenuating.
Practise more Fill in the Blanks (Reading & Writing).
Free questions with an explanation for every one, and full timed PTE Academic mock tests.
More Fill in the Blanks (Reading & Writing) questions
- The industrial revolution was not merely a technological transformation; it was a profound social _______ that reshaped urban demographics a…
- While renewable energy costs have declined precipitously, battery storage technology remains a critical _______ to round-the-clock grid reli…
- Marine biologists observed that corals subjected to elevated water temperatures exhibited significant _______, expelling their symbiotic alg…
- To mitigate systemic financial risk, regulatory frameworks require commercial banks to maintain capital reserves _______ to their risk-weigh…
- The archaeological evidence suggests that ancient Mesopotamian agricultural yields were severely compromised by soil _______ resulting from…
- In scientific discourse, an empirical claim must be strictly _______ by independent observers to attain consensus.