Thursday, October 02, 2008

Unit 2: What are the current causes of inlation in the UK?

From the economics help blog comes this useful summary

http://feeds.feedburner.com/EconomicsBlog?format=xml

a) Explain the difference between cost push and demand pull inflation
b) Using an AS/AD diagram, explain how cost push inflation arises
c) The article ays inlation should ease due to less demand pull pressures: Using an AS/AD diagram, explain how this will occur

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