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During demand pull inflation wages increases to compensate the lost disposal income and this does not increases the output of GDP.
thanks
Gross demand products i guess
Real GDP is an economic assessment that involves quantifying the inflation adjusted market value of goods and services produced by an economic system during a given time. Real GDP is used to determine the standard of living of the citizens in a country.
How is GDP used to determine the driving price of a country?
Excellent teaching and quite understandable.
During demand pull inflation, is it possible that while wages is increasing , the total output of production (GDP) is decreasing?