Decreasing membership in and power of Australian trade unions is likely to have:
A) increased the potential for cost- push inflation in Australia
B) eliminated cost- push inflation in Australia
C) decreased the potential for cost- push inflation in Australia
D) decreased the potential for cost- push inflation in Australia, but increased the potential for demand- pull inflation

Question

Quizplus · Accepted Answer

Decreased union power typically leads to slower wage growth, reducing the likelihood of cost-push inflation, which occurs when rising wages increase production costs and prices.

Decreasing Membership in and Power of Australian Trade Unions Is