Why could lead to inflation if government is not cautious


Problem

I think the most crucial consideration is planning, not stretching its budget more than it can afford. This is crucial because once the government starts a project, it is determined to finish it, most of the time, even if it means going over the budget. If the budget is underestimated, it will lead to a reduction in budgets from other sectors. This will have a domino effect on other industries and, ultimately, the economy. In addition, it could lead to inflation if the government is not cautious and proceeds to print excess amounts of currency to fulfill its goal.

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