2021 Economy - Inflation and Fiscal Policy

10. Which one of the following is likely to be the most inflationary in its effects?

  • Repayment of public debt
  • Borrowing from the public to finance a budget deficit
  • Borrowing from the banks to finance a budget deficit
  • Creation of new money to finance a budget deficit

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    2021 UPSC Economy PYQ | UPSC Insights | UPSC Insights