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Economics (AS & A Level) · May / June 2021 · Paper 12 · Question 30

9708Monetary policy

Which policy will not cause a reduction in the rate of inflation?

  1. Aincreasing income tax
  2. Breducing government spending
  3. Creducing interest rates
  4. Dremoving subsidies

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Correct answer: C. reducing interest rates

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