Answer these questions fully

3. Identify with a reason the type of inflation caused for each of the following: 3.1 An increase in the prices of gas and oil: 3.2 A decrease in the marginal propensity to save: 3.3 An increase in nominal wages, above productivity growth: 3.4 An increase in VAT from 17.5% to 20%: 3.5 An increase in consumer and business confidence:4. Are the following true or false? Explain your answer 4.1 There are no costs to inflation if it is fully anticipated. 4.2 No country has suffered hyperinflation since Germany in the 1920s. 4.3 Japan has suffered deflation since the early 1990s. 4.4 The UK government made the Bank of England independent and gave them responsibility for meeting an inflation target