There are two statements given below, marked as Assertion (A) and Reason (R). Read the statements and choose the correct option.

Assertion (A): A high revenue deficit can cause inflation in the country. 

Reason (R): Rising expenditure of the government can cause a rise in the aggregate demand in the country.

A. A is true but R is false. 

B. A is false but R is true. 

C. Both A and R are true and R explains A. 

D. Both A and R are true but R does not explain A.

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1 Answers

C. Both A and R are true and R explains A. 

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