Question

This is a 12 marker. A plan on what to write about would be helpful.
Using your own knowledge and research discuss, with AD AS analysis the impacts of cost push inflation in UK over the past 2 years.

Answer 1

Answer:

Purchasing power is the value of a currency expressed in terms of the number of goods or services that one unit of money can buy. Purchasing power is important because, all else being equal, inflation decreases the number of goods or services you would be able to purchase.