Other measures to control Inflation

[Anmol KaurParticipant]

1. Increasing production of essential goods to remove disparity between Demand and Supply of goods.
2. Price Control : To fix the maximum price at which a commodity can be sold.

For eg. Due to Coronavirus, the demand for face masks and hand sanitizers shot up. While the production wasn’t enough during the initial period when all this happened. So, government declared them as essential items to regulate their prices and production to control their prices.

However , one disadvantage of practicing Price Control measures is that it gives rise to Black marketing and hoarding of commodities.

[Author]

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