As the economy booms and approaches the limits of productivity at a point in time, a manufacturing business would typically feel which of the following effects?
A.
High export demand, increasing growth rates, high inflation and high interest rates
B.
Reducing inflation, falling demand, reducing investment, increasing unemployme
C.
Higher government spending, lower tax rates, high inflation and low unemployment
D.
Increased inflation (higher sales prices and higher costs), difficulty in finding suitable candidates to fill roles and higher interest rates