CFA Practice Question

There are 539 practice questions for this study session.

CFA Practice Question

Which of the following will most likely lead to cost-push inflation?
A. A decrease in the cost of financing
B. A technology change that lowers production costs
C. An increase in the money prices of raw materials
Explanation: Increased material costs cause firms to manufacture less. Less manufacturing decreases short-run supply, making prices rise.

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