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 Form 4 online business studies lessons on inflation

Measures that control demand-pull inflation

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Answer Text:
Measures that control demand-pull inflation:
-Monetary policy: this include;open market operations, bank rates, selective credit control and reserves requirements.
-fiscal policies: such as reduced government expenditure, increase direct taxes, reduce government borrowing and subsidies.
-By price control and income policy
-By increasing imports
-By reduction of exports and encouraging local investments.