Inflation Question (1 Viewer)

DPW

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What are the policies used to lower inflation?? Thats the section of one of my long responses that I cant find much info on. Any help would be appreciated.

DANE
 

Freaky

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Tight monetary policy...thats a start..

Increased interest rates leads to decrease in borrowing(or increased in loan repayments for those who allready have loans that aint fixed), leads to less disposable income, leads to decreased agregate demand, due to decreased agregate demand inflation drops..

Thats a really basic outline dude, you should know that.
 

Freaky

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LoL... well i suggest learning all about:

Monetary policy, Fiscal policy, and Labour market reform before going into the exam.... if u at least know a bit of info on those three things, then there is a chance you can score good marks in one of the essays..
 

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