-Quicksand  [ ...reply just weird classifieds
djs, digitalrights, phpnuke, smartmedia, classic albums, girl, classifieds, electric guitar, mp3mp3s legal music ipod playloudershop.com music playlouder, mcsweeney's, creationist, film, oracle, | next new ] 138.  Re: Ivory towers by Megabazus      at Fri 2 Sep 5:22pmscore of 1   in reply to comment 137   I'm glad weird you asked because I don't think I made this sufficiently clear. When demand-pull inflation is in effect, the primary cause is low weird unemployment. This means fewer people living off social welfare programs, and more production in the economy. Greater competition for labor between firms during these periods of low unemployment is what keeps wages rising along with inflation. weird In a sense, a high unemployment rate is a tool for firms to keep wages low. When inflation driven by cost-push (rising oil prices) is in effect, prices rise without any accompanying gains in productivity or wages (there is no greater competition for labor just because oil prices went up.)
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-Quicksand  [ ...reply just to this | comment on the story... | next new ] 137.  Re: Ivory towers by 0tim0      at Fri 2 Sep 4:50pmscore of 1   in reply to classifieds comment 131   There are two types of inflation. Cost-push, and demand-pull. Well that makes me feel a little better. Though, I must admit, I'm still a little troubled — probably since I'm no economist. But why does the cause of the inflation change the effect? --t "There is no pain in death; it only hurts to die." -Quicksand  [ ...reply just to classifieds this classifieds | comment on the story...
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