When OPEC raised the price of oil,it created:
A)demand-pull inflation.
B)cost-push inflation.
C)demand-push inflation.
D)cost-pull inflation.
E)cost-push deflation.

Question

Quizplus · Accepted Answer

When OPEC raises the price of oil, it increases the cost of production for many goods and services, as oil is a key input in many industries. This leads to a decrease in the supply of goods and services and an increase in their prices, known as cost-push inflation.

When OPEC Raised the Price of Oil,it Created