Economics Mixed Economy Questions
A mixed economy addresses inflation through a combination of monetary and fiscal policies. The government, in collaboration with the central bank, implements measures such as adjusting interest rates, controlling money supply, and managing government spending and taxation. These policies aim to stabilize prices, control inflationary pressures, and promote economic growth. Additionally, the government may also regulate certain sectors of the economy, such as utilities or healthcare, to prevent excessive price increases and ensure affordability for consumers.