pyq/2021/prelims/12

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 codes given below.

(A) 1, 2 and 4 Only

(B) 3, 4 and 5 Only

(C) 1, 2, 3 and 5 Only

(D) 1, 2, 3, 4 and 5