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Demand-pull inflation is typically caused by Multiple Choice Ο increased cost of the factors of production. Ο firms charging
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Answer ) Option D is correct.

Demand-pull inflation is the upward pressure on prices that follows a shortage in supply. Too many dollars chasing too few goods. So, when there is too much money in circulation means there is an expansion of the money supply with too few goods to buy makes prices increase. Hence, causes inflation in the economy.

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