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In Economics / Senior High School | 2025-05-21

What kind of inflation is caused by too much demand in the economy?
A. Demand-pull inflation
B. Cost-push inflation
C. Structural inflation
D. Regressive inflation

Asked by Merma6867

Answer (1)

The correct answer is letter A. Demand-pull inflation occurs when consumer demand exceeds supply, causing prices to rise. In the Philippines, this can happen during the Christmas season or election periods when spending increases dramatically.

Answered by Sefton | 2025-05-22