Which statement about stopping hyperinflation is NOT correct?
A) The government must reduce the budget deficit.
B) The growth of the money supply must decrease.
C) Borrowing from foreign governments must take place.
D) A change in government and a new currency are usually required.

Question

Quizplus · Accepted Answer

Borrowing from foreign governments may temporarily relieve inflationary pressures, but it does not address the root causes of hyperinflation. The correct measures are reducing the budget deficit and decreasing the growth of the money supply. In extreme cases, a change in government and a new currency may also be necessary.

Which Statement About Stopping Hyperinflation Is NOT Correct