cost-pull inflation
- noun
- Specialized
:
inflación por costos
- A surge in wages and raw material prices can trigger cost-pull inflation in an economy.
Examples
-
The central bank raised interest rates to counter cost-pull inflation driven by rising oil prices.
-
Many economists attribute current price increases to cost-pull inflation rather than excessive consumer demand.
-
The country is experiencing cost-pull inflation this year.
-
Many economists warn about rising cost-pull inflation rates.
-
A surge in wages and raw material prices can trigger cost-pull inflation in an economy.
-
Many economists attribute current price increases to cost-pull inflation rather than excessive consumer demand.
-
The central bank raised interest rates to counter cost-pull inflation driven by rising oil prices.
Antonyms
- Specialized
A rise in prices when people want to buy more things than before
Surface Forms
Morphology
cost-pull + inflation
The headword clearly names a type of inflation and the constituent 'cost' signals that rising production costs are the cause, so a B1 learner who knows 'cost' and 'inflation' can infer the general idea. However, 'cost-pull' is nonstandard (the usual collocate is 'cost-push') and the role of 'pull' is not an immediately predictable way to signal causation in this compound, so full meaning and conventional usage require prior exposure.
Etymology
Cost-pull inflation comes from a simple image: rising costs pull prices up like a rope, so higher wages or materials make sellers raise their prices. That's why it means 'a rise in general prices caused by higher production costs'.
