demand-pull inflation (Meaning)

Wordnet

demand-pull inflation (n)

inflation caused by an increase in demand or in the supply of money

No Synonyms and anytonyms found

Demand-pull inflation occurs when there is an increase in demand for goods and services, leading to rising prices.
Economists often attribute demand-pull inflation to factors such as increased consumer spending or government stimulus measures.
Demand-pull inflation can also be fueled by factors such as population growth or expansionary monetary policy.
When demand-pull inflation occurs, businesses may raise prices to capitalize on increased demand.
Central banks may use monetary policy tools to control demand-pull inflation by raising interest rates to reduce borrowing and spending.
Demand-pull inflation can lead to a decrease in purchasing power as prices rise faster than wages.
Policymakers must monitor demand-pull inflation closely to prevent it from spiraling out of control and causing economic instability.
Demand-pull inflation can be particularly problematic if it leads to wage-price spirals, where rising prices lead to demands for higher wages, further fueling inflation.
Economists use various indicators, such as the Consumer Price Index (CPI), to track and analyze the effects of demand-pull inflation.
Government policymakers must strike a delicate balance between promoting economic growth and controlling demand-pull inflation to maintain a stable economy.

inflation caused by an increase in demand or in the supply of money

No synonyms found.

No antonyms found.

Demand-pull inflation occurs when there is an increase in demand for goods and services, leading to rising prices.

Economists often attribute demand-pull inflation to factors such as increased consumer spending or government stimulus measures.

Demand-pull inflation can also be fueled by factors such as population growth or expansionary monetary policy.

When demand-pull inflation occurs, businesses may raise prices to capitalize on increased demand.