Discussion
Assertion (A) : India is facing the problem of inflation.
Reason (R) : We have failed to check the growth of black money.
Answer: A
Correct answer: Both A and R are true and R is the correct explanation of A.
Black money circulates outside the tax and banking system and adds to the demand chasing goods without adding to their supply, which pushes prices up. Failure to check its growth therefore feeds inflation directly. Both are true and R explains A.
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