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M: +2.00/-0.50

With reference to Indian economy, demand-pull inflation can be caused/increased by which of the following?

1. Expansionary policies

2. Fiscal stimulus

3. Inflation-indexing wages

4. Higher purchasing power

5. Rising interest rates

Select the correct answer using the code given below.

I.A.S. (Pre) 2021

[Fiscal Policy, Inflation Planning and Banking]
A
B
C
D

EXPLANATION

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