Time remaining:
What are the similarities between demand-pull inflation and cost-push inflation? Which one is worse?

label Economics
account_circle Unassigned
schedule 1 Day
account_balance_wallet $5

This relates to macroeconomics

Apr 24th, 2015

Cost-Push Inflation Versus Demand-Pull Inflation

"Conclusion
Inflation is not simply a matter of rising prices. There are endemic and perhaps diverse reasons at the root of inflation. Cost-push inflation is a result of decreased aggregate supply as well as increased costs of production, itself a result of different factors. The increase in aggregate supply causing demand-pull inflation can be the result of many factors, including increases in government spending and depreciation of the local exchange rate. If an economy identifies what type of inflation is occurring (cost-push or demand-pull), then the economy may be better able to rectify (if necessary) rising prices and the loss of purchasing power. "http://www.investopedia.com/articles/05/012005.asp


Cost-Push Inflation vs. Demand-Pull Inflation

http://economics.about.com/cs/money/a/inflation_terms.htm


Hope this helps!


Apr 24th, 2015

Did you know? You can earn $20 for every friend you invite to Studypool!
Click here to
Refer a Friend
...
Apr 24th, 2015
...
Apr 24th, 2015
Sep 22nd, 2017
check_circle
Mark as Final Answer
check_circle
Unmark as Final Answer
check_circle
Final Answer

Secure Information

Content will be erased after question is completed.

check_circle
Final Answer