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Cost-Push Inflation |
Also found in: Dictionary/thesaurus, Wikipedia, Hutchinson | 0.03 sec. |
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Cost-push inflation Inflation caused by rising prices, usually from increased raw material or labor costs that push up the costs of production. Related: Demand-pull inflation. Cost-Push Inflation Inflation caused by rising costs of production. For example, if the price of a barrel of oil rises significantly, this could cause fuel prices to increase which, in turn, increases costs for transportation of food, tools, and other goods, which can cause some level of inflation across an economy. Cost-push inflation contrasts with demand-pull inflation, which is caused by a rise in demand on the part of consumers.
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