Combat inflation can be defined as a tool which is used by the government with the purpose of increasing the employment at the time of recession in the economy.
What is combat inflation?
Combat inflation is a technique used by the national governments or other such authorities to where the cost of wages and controls over prices are levied.
A combat inflation in the economy is an effective technique which acts as a double-edged sword for increasing the employment as well as lowering the cost of hiring for the employers.
The only concern in a combat inflation technique is that it cannot be used as a tool for increasing the unemployment, which is highly and unlikely unfavorable for an economy, leading to loss of jobs.
Hence, option A; The purpose of the combat inflation measure is to increase employment rate in the country is the correct statement.
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