In order to check deflationary condition govt. Can through its budget:
A) encourage spending
B) give tax concessions
C) give subsidies
D) make provisions for all a,b,c

Dear student,
Ans is B
Deflation refers to a situation when the general price level falls considerably and consistently in an economy. In such a situation, giving tax concessions would prove to be more helpful. This would encourage spending and boost the aggregate demand and thereby, help to pull up the price level. 

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