Demand- pull inflation starts as the
A) AD curve shifts leftward.
B) AD curve shifts rightward.
C) LAS curve shifts leftward.
D) LAS curve shifts rightward.

Name: Demand- pull inflation starts as the A) AD curve shifts leftward. B) AD curve shifts rightward. C) LAS curve shifts leftward. D) LAS curve shifts rightward.
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Question

Quizplus · Accepted Answer

Demand-pull inflation occurs when there is an increase in aggregate demand (AD) which shifts the AD curve rightward leading to an increase in both price level and real output.

Demand- Pull Inflation Starts as the