The meaning of ‘wage-price spiral’ is?

a

demand pull and cost push inflation pulling each other in different director

b

demand pull and cost push inflation intensifying each other

c

both of them bringing about a reduction in the price level

d

that demand pull and cost push inflation increases employment

e

that wages and prices are rising at a proportional rate

Download Offline App Ask a Question

Explanation

Correct Option
b

No explanation available

Video Explanation

No video available

Post your Contribution

Share:

Discussions (4)

Deepthinker581
4 years ago

The wage-price spiral is a theory that indicates the interrelationship between an increase in wages and an increase in prices of goods, it is otherwise known as inflationary spiral. ... This theory represents a circle in which a rise in wages and prices mounts pressure on the economy, thereby causing inflation

With this the answer has a connection with "B" and C""

Samsos
3 years ago

The correct answer is B.
Wage price spiral is a macroeconomic term, which explains inflation. Wage (salaries of worker and others) increases giving them more purchasing power (this is a cost to the producer). As a result of this, price of commodities increses (the producer is now pushing the cost to the consumer). The circle continues.

Joanzy
5 years ago

The answer is E cos wage increase as price increase causing inflation

Joanzy
5 years ago

Pls kindly put in correct answers

Quick Questions

Ask a Question
CO

ceoofwahala

20th June, 2026

Chemistry


2 comments

ASSAAS

20th June, 2026

English Language


5 comments

infinitehoaxx

21st May, 2026

Computer


4 comments