Question

Which of the following most precisely explains cost-push inflation?

A Inflation driven by excess aggregate demand that outpaces productive capacity.
B Inflation arising when rising input costs wages, energy, raw materials push up production costs which are passed on as higher prices.
C Inflation created by excessive money supply expansion by the central bank.
D Inflation from higher indirect taxes without any change in production costs.
E Inflation from rising productivity and technological advancement.
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