Cost-push inflation might initially result from
A)the use of new technology.
B)an increase in government expenditure.
C)an increase in the cost of resources.
D)an increase in the quantity of money.
E)a decrease in the quantity of money.

Question

Quizplus · Accepted Answer

Cost-push inflation occurs when the overall price levels in an economy rise due to increases in the cost of wages and raw materials. An increase in the cost of resources directly contributes to this type of inflation.

Cost-Push Inflation Might Initially Result from