Which of the following is NOT typically used as a fiscal policy measure to control inflation?

CA Foundation · Business Economics · RTP · September 2025
Which of the following is NOT typically used as a fiscal policy measure to control inflation?
(A) A. Increasing government expenditure
(B) B. Raising taxes
(C) C. Reducing public sector investments
(D) D. Increasing interest rates

Suggested Answer and Working Notes:

Correct Answer: Option (D)

D. Increasing interest rates

Topics: Public Finance

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