What is a primary tactic used by central banks to combat inflation?

Question

Quizplus · Accepted Answer

Raising interest rates is the primary tactic used by central banks to combat inflation because it reduces the demand for credit, which slows down spending and lowers the money supply in circulation. This decrease in spending and money supply helps to reduce inflationary pressures in the economy.

Answer: A, D 
 Making credit less expensive and setting lending rates very low are not effective tactics to combat inflation. These actions actually increase spending and the money supply, which can worsen inflationary pressures in the economy.

What Is a Primary Tactic Used by Central Banks to Combat