What is the primary difference between "demand-pull inflation" and "cost-push inflation"?
Question 22Answer
a.
Demand-pull inflation is caused by an increase in production costs, cost-push inflation is caused by an increase in aggregate demand
b.
Demand-pull inflation is caused by a decrease in production costs, cost-push inflation is caused by a decrease in aggregate demand
c.
Demand-pull inflation is caused by a decrease in aggregate demand, cost-push inflation is caused by a decrease in production costs
d.
Demand-pull inflation is caused by an increase in aggregate demand, cost-push inflation is caused by an increase in production costs