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Why fiscal deficit is inflationary in …

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Why fiscal deficit is inflationary in nature
  • 2 answers

Shipra Tanwar 7 years, 9 months ago

Bcoz to finance fiscal deficit govt.borrows money from RBI and rbi print new currency for this purpose and money supply increase in economy which leads to inflation......

Priya Dubey 7 years, 9 months ago

Bcoz it also known as borrowing
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