Demand-pull inflation is O higher input prices causing supply of goods and services to fall O too much spending chasing too few goods O too few goods chasing too few buyers O too much production chasing too few buyers
Added by Josefina D.
Close
Step 1
Step 1: Demand-pull inflation is caused by an increase in aggregate demand. Show more…
Show all steps
Your feedback will help us improve your experience
Shalini Tyagi and 69 other Microeconomics educators are ready to help you.
Ask a new question
Labs
Want to see this concept in action?
Explore this concept interactively to see how it behaves as you change inputs.
Key Concepts
Recommended Videos
Cost-push inflation occurs when there is _____. a. Excess inventory. b. A trade deficit. c. Rising per-unit production costs. d. Excess demand for goods and services.
Shalini T.
Cost-push inflation is due to a. excess total spending. b. too much money chasing too few goods. c. resource cost increases. d. the economy operating at full employment.
Kevin C.
Cost-push inflation can be started by a. an increase in the money prices of raw materials. b. an increase in the quantity of money. c. a decrease in government expenditure on goods and services. d. a decrease in the money wage rate.
Jennifer S.
Recommended Textbooks
Principles of Economics
Principles of Microeconomics for AP® Courses
Economics
Transcript
18,000,000+
Students on Numerade
Trusted by students at 8,000+ universities
Watch the video solution with this free unlock.
EMAIL
PASSWORD