JAMB Economics 2022 Objective — Question 2

Question 2 of 40 from the Joint Admissions and Matriculation Board (JAMB) Economics 2022 Objective paper, with the correct answer and a full explanation.

Wage crisis will most likely lead to

A. demand pull inflation
B. cost push inflationCorrect
C. temporary inflation
D. wage-influenced inflation

Explanation

Wages are part of the cost of production, so a rise in wages (from a wage crisis) increases production costs and pushes prices up — cost-push inflation.

Sign up free to unlock

Score tracking
Practice history
Saved questions
Progress dashboard
Personalized sessions
Weak-topic breakdown

…and/or go further with premium services and No Ads.

Create free account

More questions from Economics 2022 Objective More Economics past papers