If the government decreases its spending significantly, which of the following is the most likely effect on inflation in the short run?

When the government decreases its spending, it means that there is less money flowing into the economy. This can lead to lower demand for goods and services because people may have less money to spend or because businesses have fewer contracts from the government. With reduced demand, prices are less likely to rise, which can help keep inflation low. For example, if the government cuts back on building new roads, construction companies may not hire as many workers, leading to lower wages and less spending in the community. Overall, in the short run, a significant decrease in government spending is likely to reduce inflation.