Author name: Varsha Verma

Cost-push inflation happens when prices go up because it costs more to make things. In this type of inflation, it’s not about people wanting more, but the cost of making stuff becomes the big deal. Once it starts in one industry, it tends to spread to all others in an economy. The main reasons for […]

Prices go up or down based on how much people want something and how much of it is available. When more people want something, or there’s not enough of it, the price goes up. So, there are two main types of inflation—demand-pull inflation and cost-push inflation. 8.3.1 Demand-pull Inflation Demand-pull inflation happens when a lot