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16 May, 14:51

In Zimbabwe in the 1990s the government resorted to printing money to pay the salaries of government employees because:

A. of declining tax revenues.

B. of high rates of inflation.

C. of a need to stimulate the economy.

D. it was a means to avoid price controls.

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  1. 16 May, 15:57
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    Answer: of declining tax revenues.

    Explanation: Government agencies had no money to pay their workers so they started printing money. This was due to a decline of tax revenue in Zimbabwe in the 1990s. The major cause of these was asa result of inexperienced farmers causing a shortage of food supply which led to hyperinflation.
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