How to reduce inflation rate?

3 Answers

yarnlady Profile
yarnlady answered
The rate of inflation can only be affected at the government level. Economists have opposing ideas how this can be done. One side says lowering the interest rate that Fed charges on it's loans will help, and another side says that only way to reduce inflation is for government to increase interest rates and bring the amount of borrowing down.
deepak meena Profile
deepak meena answered
You can set the fixed inflation rate parameters to reduce the rate and it can be more helpful in the future
Tris Stock Profile
Tris Stock answered
Inflation can be reduced by a number of methods. The most common employed by governments or those in charge of fiscal policy, is to raise interest rates on money borrowed. This means that people are less likely to want to spend on borrowed money (at a higher cost) and will increase the pressure on market forces to compete for less liquidity in their respective markets.

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