Deficit financing aims to put more money into the economy by creating additional paper currency to fill the gap between expenditure and revenue, The device aims at economic development but if it fails, it generates
A. deflation
B. inflation
C. demonetisation
D. devaluation
Answer: Option B
Related Questions on Managerial Economics
The emphasis of managerial economics is on
A. Bonus theory
B. Normative theory
C. System theory
D. Accounting theory
Which is not the subject of Managerial Economics?
A. Accounting Theory
B. Pricing Decision, Policies and Practices
C. Capital Management
D. Profit Management
Which is not covered under the scope of managerial economics?
A. Profit management
B. Accounting theory
C. Pricing policies
D. Production analysis

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