Cost-push inflation is likely to raise when

a

there is an increase in government spending

b

there is an increase in direct taxes

c

demand for higher wages is granted

d

there is a decrease in banks lending

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Correct Option
c

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babablacksheep
2 years ago

the answer is B cost push inflation is caused by increase in the cost of production (tax increase) the answer wouldve been C if it was demand pull. please change now

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