Question

which of the following is not a cause of inflation?
a. increase in demand for goods and services
b. increase in cost of raw materials
c. increase in demand for money.
d. increase in supply of money.

Answer 1

Inflation is primarily caused by an increase in the money supply that outpaces economic growth. so "c" option is right for your question.
alright.
please mark it as brainiest answer.

Answer 2

(d)Increase in demand for money is not a cause of inflation.

Let's know more about inflation and its causes

Explanation

• Inflation is a continuous rise in the general price level. During times of inflation, the prices of goods and commodities rise higher than normal. Inflation is also a measure used by the government to control the money supply rate.

• Inflation is caused due to many reasons but an increase in demand for goods and services is the main one. When there's a higher demand for a good or service it tends to increase the price of the commodity.

For example,

• When there's high demand for milk in the market, the prices for milk will rise. An increase in the cost of raw materials will automatically result in an increase in the production cost. This gives rise to inflation.

• An increase in the supply of money means higher purchasing power and control over money. To overcome this the government uses inflation as a rescue. The government carries out various open market operations to sell government securities at a higher rate.