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3 October, 06:29

When oil and energy prices rise, the economy tends to experience select one:

a. natural inflation.

b. demand-pull inflation.

c. cost-push inflation.

d. unanticipated inflation?

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Answers (1)
  1. 3 October, 06:52
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    The best answer for this question would be:

    c. cost-push inflation

    This is a situation in inflation that causes the general prices to rise because that cost of the wages and the raw materials used in the production. And this happens due to the production costs getting higher which decreases in the supply of the economy.
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