imported inflation


Inflation due to an increase in the price of imports. As the price of imports increase, prices of domestic goods using imports as raw materials also increase, causing an increase in the general prices of all goods and services. Imported inflation may be caused by foreign price increases or depreciation of a country's exchange rate.

Use imported inflation in a sentence

To make domestic goods cheaper and more desirable, the imported inflation rate rose, making imported goods more expensive.


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Related Terms

importation cost-push inflation