The cure for inflation can come only from changes on the demand side.

Question

Quizplus · Accepted Answer

The cure for inflation can come from both supply-side and demand-side changes. Supply-side changes can include increasing production and lowering prices, while demand-side changes can include decreasing aggregate demand through government policies such as increasing taxes or reducing government spending. Therefore, both supply and demand-side changes are necessary to combat inflation.

The Cure for Inflation Can Come Only from Changes on the Demand