Which of the following measures should be taken when an economy is going through inflationary pressure?

The interest rate should be reduced.

The direct tax should be increased

The public spending should be increased

Which of the following measures should be taken when an economy is goi

1.	Which of the following measures should be taken when an economy is going through inflationary pressure?
A.	The direct tax should be increased
B.	The interest rate should be reduced.
C.	The public spending should be increased
D.	None of these
Answer» B. The interest rate should be reduced.