ATTEMPT · INDIAN ECONOMY · PRELIMS 2013
A rise in the general level of prices may be caused by: 1. an increase in the money supply 2. a decrease in t…
Read the full question, pick an option, then see whether you were right. The answer is not shown until you attempt.
Your attempt
Choose an option before the answer.
A rise in the general level of prices may be caused by:
1. an increase in the money supply
2. a decrease in the aggregate level of output
3. an increase in the effective demand
Select the correct answer using the codes given below.
Pick an option to check yourself. The answer stays hidden until you attempt.
• Correct Answer: D
• Inflation is caused by increased money supply (demand-pull), decreased aggregate output (cost-push), and higher effective demand.
• All three are recognized drivers of a general price rise.
Keep going
Same year. Same subject. More attempts.
Keep attempting in GyanGram.
Filter by year or subject, attempt previous-year questions, and connect each miss back to a visual deck.
GyanGram