A union wins a large wage rise, carmakers lift prices, and workers elsewhere then demand higher pay. What is this called?

1. Wage increases are a major cause of cost-push inflation. 2. Carmakers facing higher labor costs raise car prices to cover them. 3. The higher wages also give those workers more money to spend, and that extra demand can pull other prices up. 4. Workers in other industries then demand higher wages to keep up with the increased prices. 5. The cycle pushes prices higher again, and this self-feeding loop is the wage-price spiral. 6. Purchasing power describes what money can buy rather than naming this loop. 7. Crowding out is about government spending replacing private spending, and the circular flow is a way of showing how sectors interact. _Source: OpenStax Introduction to Business (CC BY 4.0), Ch 1 "Understanding Economic Systems and Business", section 1.4 Macroeconomics: The Big Picture_