Which of the following would likely cause demand-pull inflation?

Question

a. an increase in the price of oil has reduced supply of all goods a services that use oil as an input
b. the purchasing power of consumers increases due to a stimulus check from the US government
c. a tornado destroys factories and lowers the supply levels throughout the economy
d. a world wide recession causes a decline in consumer spending

Answer 1

b. the purchasing power of consumers increases due to a stimulus check from the US government