Which one of the following combinations of macroeconomic developments is most likely to cause an increase in the rate of inflation?
An appreciation of the exchange rate and a decrease in household consumption
A cut in personal income tax rates and a rise in the global price of commodities
An increase in indirect taxes and a sustained rise in labour productivity
A rise in the central bank's policy interest rate and a reduction in the budget deficit
77 exam-style questions on OCR A Level Economics Inflation. Each one has a worked solution and a mark scheme showing where the marks go.