When wages rise and the short-run aggregate supply curve shifts up, the result is cost-push inflation. If

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When wages rise and the short-run aggregate supply curve shifts up, the result is "cost-push" inflation. If the economy was initially at full employment and the aggregate demand curve was shifted to the right, explain how "cost-push" inflation would result as the economy adjusts back to full employment.
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Macroeconomics Principles Applications and Tools

ISBN: 978-0134420684

9th edition

Authors: Arthur O'Sullivan, Steven Sheffrin, Stephen Perez

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