A rise in 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.

Which of the following statements is/are correct in respect of inflation in India? A. Core inflation include the prices of food and energy. B. Headline inflation exclude food inflation. C. Headline i…

Which of the following factors could potentially contribute to stagflation in the Indian economy? 1. High inflationary pressures due to increased Government spending 2. Decline in industrial producti…

Which of the following statements is/are correct? 1. GDP deflator captures the average price of an unchanging basket of commodities that constitutes the GDP of the country. 2. GDP deflator can be use…

Which of the following statements are correct regarding Exchange Rate Determination in India ? 1. Real Effective Exchange Rate (REER) - Measure of the value of a country's currency against a basket o…

Which of the following will be the outcome if an economy is under inflationary pressure? 1. Domestic currency heads for depreciation. 2. Exports become less competitive with imports getting costlier.…