Topic: A Large Negative GDP Gap Implies
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Which is most likely to result in a negative GDP gap? positive GD...
1)demand-pull inflation is more likely to result in a negative GDP gap 2)cost-push inflation is more likely to result in a positive GDP gap I gather...demand pull means output less than potential and cost push means money flow more than equ... Read More »
Source: http://answers.yahoo.com/question/index?qid=20120311211310AAiNsSV
Why cost-push inflation is more likely to be associated with a ne...
Have you bothered thinking about this at all? Suppose the price of oil doubles, what happens? Since the cost of fuel and hence transportation increases, everything becomes more expensive.That's cost-push inflation. So what happens to people... Read More »
Source: http://answers.yahoo.com/question/index?qid=20091028223333AA4Supo