Concept:Cost-push inflation arises when higher production costs push up the general price level of goods and services.
Explanation:When the cost of raw materials or wages rises, the overall cost of production increases.
Producers then pass this higher cost on to consumers by raising prices.
This leads to a persistent increase in the general price level.
Demand-side increases cause demand-pull inflation, not cost-push inflation.
A decrease in production costs would reduce pressure on prices, not cause such inflation.
Answer:Option A: rise in the cost of production.