Discuss five strategies that can be used by the government to control inflation (10mks)
Five strategies used by the government to control inflation
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The average consumer price for a tin of maize for various years in Trans-mara is shown in the table below.Calculate the consumer index using year 2008 as the base year. (4mks)
Positive effect of inflation in an economy
Outline four measures that a country can take to reduce the level of inflation.
Measures that a country can take to reduce the level of inflation include:
Outline one circumstance under which each of the following types of inflation may occur: Creeping inflation and Hyperinflation.
Circumstances under which each of the following types of inflation may occur include:
(i) Creeping inflation
Explain the following types of inflation:
(i) Demand-Pull inflation
Levels of inflation are:
Describe four measures that the Government may put in place to reduce the amount of money in circulation.
Measures that the Government may put in place to reduce the amount of money in circulation.
Outline four measures that a government may put in place to reduce high inflation in a country.
Measures that a government may put in place to reduce high inflation in a country.
Levels of inflation
Levels of inflation include:
Factors that may cause inflation in an economy.
State two situations in which each of the following types of inflation may occur.
The table below shows general price changes over a period of five years:
Using year 2010 as the base year, determine the Consumer price index for years 2011, 2012, 2013 and 2014. (4 marks)
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