Imagine two identical economies, A and B. Both currently have an inflation rate of 2% and a similar level of economic activity. However, in Economy A, businesses and workers widely anticipate that inflation will rise to 5% next year, while in Economy B, they expect inflation to remain stable at 2%. Analyze how this difference in expectations is likely to affect the actual inflation outcomes in each economy over the next year. In your answer, explain the specific mechanisms through which these expectations influence economic behavior.