Explain the demand pull inflationdemand pull, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Microeconomics Expert

Economics

Basic Economics

Business Economics

International Economics

Managerial Economics

Public Economics

Home >> Microeconomics

Explain the Demand Pull Inflation

Demand Pull Inflation: Occurs when aggregate demand exceeds aggregate supply. If there is an excess level of demand in the economy, this will tend to cause prices to increase. This type of inflation is known as demand-pull inflation and is argued by Keynesians to be one of the major causes of inflation. Demand-pull inflation is essentially "too much money chasing too few goods."

View complete question

Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M9574943

Have any Question?Write your Review or question?

Related Questions in Microeconomics

Question a bond has a face value of 1000 with maturity date

Question: A bond has a face value of $1,000 with maturity date 20 years from today. The bond pays interest semiannually at a rate of 8% per year based on the face value. If the current rate of similar bonds is 6%, what i ...

Question suppose a city releases 16 million gallons of raw

Question: Suppose a city releases 16 million gallons of raw sewage into a nearby lake. Table shows the total costs of cleaning up the sewage to different levels, together with the total benefits of doing so. (Benefits in ...

Question for this scholarly activity develop a supporting

Question: For this scholarly activity, develop a supporting human resource (HR) plan for an organizational strategy. Research a company that has undergone (or attempted to undergo) a shift in organization or culture with ...

Question at your favorite bond store you see the following

Question: At your favorite bond store, you see the following prices: • 1-year $100 zero selling for $90.19 • 3-year 10% coupon $1000 par bond selling for $1000 • 2-year 10% coupon $1000 par bond selling for $1000 Assume ...

Question the kennedy-johnson tax cut reduced personal

Question: The Kennedy-Johnson tax cut reduced personal income tax rates by 20% during 1964 and 1965; the personal saving rate was virtually unchanged from 1963.4 to 1965.4. The Reagan tax cut reduced personal income tax ...

Question what do isoquants look like if there are no

Question: What do isoquants look like if there are no substitution possibilities at all, for example, if making a one-pound cake requires precisely three eggs and three cups of flour? The response must be typed, single s ...

Question - the figure illustrates the average total cost

Question - The figure illustrates the average total cost (ATC) and marginal cost (MC) curves for an apple farmer. Assume the market for apples is perfectly competitive. If the market price for apples is $66.00 per crate, ...

Question why do prices in monopolistic competitive markets

Question: Why do prices in monopolistic competitive markets remain above the prices that would exist in perfectly competitive markets even in the long run after entry has eliminated above normal profits? The response mus ...

Quesiton economic historians have determined that it took

Quesiton: Economic historians have determined that it took about 40 years from the harnessing of electricity for industrial power until it had a significant impact on productivity growth. The same argument is now being u ...

Question using capital asset pricing model to determine the

Question: Using capital asset pricing model to determine the expected return of Google stock, which has a beta value of 1.5, if the total market expected return is 10% and the risk-free rate is 2.5%. The response must be ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As