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Which of the following is a correct statement? It is relatively easy to distinguish between cost-push and demand-pull inflation even if you don't know the

Which of the following is a correct statement?

  • It is relatively easy to distinguish between cost-push and demand-pull inflation even if you don't know the source of the inflation.
  • A supply shock will cause a variation of demand-pull inflation that can lead to hyperinflation.
  • Demand-pull inflation will continue so long as there is excess total spending in the economy.
  • Demand-pull inflation is usually accompanied by higher unemployment rates.

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