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in Economics by (69.8k points)

Deficit financing leads to inflation in general, but it can be checked if: 

(a) government expenditure leads to increase in aggregate supply in ratio of aggregate demand 

(b) aggregate demand is increased only 

(c) all the expenditure is denoted national debt payment only 

(d) all the above

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(a) government expenditure leads to increase in aggregate supply in ratio of aggregate demand

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