In most cases, a government generates inflation when it creates money to finance its expenditures.

Name: In most cases, a government generates inflation when it creates money to finance its expenditures.
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When a government creates more money to finance its expenditures, there is an increase in the money supply in the economy which can lead to inflation. This is because the more money that is available, the less valuable each individual unit of currency becomes.

In Most Cases, a Government Generates Inflation When It Creates