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    cost-push inflation

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    Explain how cost-push inflation might prompt policymakers to take actions that subsequently cause demand-pull inflation. Explain how this demand-pull inflation could lead to another round of cost-push inflation. Illustrate this process graphically using the aggregate demand-aggregate supply model.

    © BrainMass Inc. brainmass.com March 4, 2021, 6:27 pm ad1c9bdddf
    https://brainmass.com/economics/inflation/cost-push-inflation-45167

    Solution Summary

    This posting uses the aggregate demand-aggregate supply model.

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