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The Following Image Shows the Aggregate Demand and Aggregate Supply

Question 59

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The following image shows the aggregate demand and aggregate supply curves of an economy.In the graph below,the rise in the price levels from P1 to P2 is a result of:
The following image shows the aggregate demand and aggregate supply curves of an economy.In the graph below,the rise in the price levels from P<sub>1</sub> to P<sub>2</sub> is a result of:   A) cost-pull inflation. B) cost-push inflation. C) demand-push inflation. D) demand-pull inflation. E) induced inflation.


A) cost-pull inflation.
B) cost-push inflation.
C) demand-push inflation.
D) demand-pull inflation.
E) induced inflation.

Correct Answer:

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