Home Current Affairs (January-March 2025) MCQs

Question

What was a major factor contributing to rising inflation in several developed economies during early 2025?

  1. Decreased government spending and austerity measures
  2. Increased global demand coupled with supply chain disruptions
  3. Collapse of the cryptocurrency market
  4. Widespread adoption of bartering systems

Answer:

Option B: Increased global demand coupled with supply chain disruptions

Detailed Solution:

The correct answer is “Increased global demand coupled with supply chain disruptions”.

Increased global demand and supply chain disruptions are common factors contributing to inflation in developed economies.