Question

Which of the following may be the probable action by the Government to reduce inflation .

Q: Answer-Which of the following may be the probable action by the Government to reduce inflation .

When government activities inject more capital into the economy, consumers have more to spend, which can increase demand. If suppliers fail to meet rising demand, they may hike prices, leading to inflation.

A Cuts in government spending

B Increase in government expenditure

C Reduction in repo rate

D Increase spending abroad

E None of the above

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Which of the following may be the probable action by the Government to reduce inflation .

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