One of the chief causes of exploding homebrew bottles is beer that has not been fully fermented before bottling. Many home brewers are anxious to drink their newest brew and rush it into the bottle too early.
It is sometimes expressed as too much spending (or money) chasing too few goods.. Cost-push inflation describes prices rising because of increases in per unit costs of production. Cost-push inflation is most likely to be associated with a negative GDP gap, as the rising production costs reduce spending and output.Demand-pull inflation is more likely to occur with a positive GDP gap, because actual GDP will exceed its potential only when aggregate spending is strong and rising.t is sometimes expressed as too much spending (or money) chasing too few goods.. Cost-push inflation describes prices rising because of increases in per unit costs of production. Cost-push inflation is most likely to be associated with a negative GDP gap, as the rising production costs reduce spending and output.
At the short run equilibrium (P3 and 400bn real output) there is a negative output gap of 100bn, given that the maximum possible output is 500bn.A negative output gap is also called a recessionary gap. In the Classical system, the economy is assumed to self-adjust.n this case, the short run equilibrium is at a higher level of real output than the economy can actually produce, as illustrated below. The short run equilibrium position (P6 and a real poutput of 550bn) is above the full employment, creating a positive output gap.