Economics · Inflation
What is meant by the term 'pass-through' in the context of inflation and pricing dynamics?
- 1The exemption of the service sector from macro-level inflationary factors
- 2The direct absorption of manufacturing burden by corporate profits
- 3The temporary movement of an economy through short-term price pressures
- 4The transmission of higher input or wholesale costs to final consumer prices✓
Correct answer
The transmission of higher input or wholesale costs to final consumer prices
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