How can demand-pull inflation lead to cost-push inflation?
A. Demand-pull inflation shifts the aggregate supply curve downward, which causes a temporary negative supply shock and hence
B. When demand-pull inflation occurs, unemployment is usually above the natural rate level, thus providing a greater chance for
C. When a demand-pull inflation produces higher inflation rates, it could prompt workers to demand higher wages in anticipation of 0
D. Although policymakers struggle with the distinction between demand-pull inflation and cost push inflation, these are unrelated and cost-push inflation. cost-push inflation to occur future higher inflation, creating cost-push inflation. one cannot lead to the other.