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Demand-pull inflation can be as a result of__________

...

Demand-pull inflation can be as a result of__________

A.

Increase in the cost of production

B.

Excessive supply of foodstuff

C.

Deficit financing by the government

D.

Increase in import duties

Correct answer is C

Demand-pull inflation is when there is an increase in aggregate demand, and the supply remains the same or decreases. 

Demand-pull inflation can be caused by an expanding economy, increased government spending, or overseas growth.