(a) Secondary functions of Money: 

1. Standard of Deferred Payments—Deferred payments refer to those payments which are made sometimes in the future. 

Example: Money has made deferred payments much easier than before. When we sorrow money from somebody, we have to return both the principal as well as interest amount. It is difficult to make such transactions in goods and services. 

2. Store of Value—It implies store of wealth storing wealth has become considerably easy with the introduction of money. Wealth can be stored just in terms of paper titles. Stored wealth is a source of future investment and investment is a source of growth and property. 

3. Transfer of Value—Money also serves as a convenient mode of transfer of value. By facilitating transfer of value, money has promoted both consumption expenditure as well as investment expenditure across all parts of the world. 

(b) Cost push inflation—It refers to inflationary rise in prices which arises due to increase in costs. Cost push inflation is caused mainly due to increase in cost of wages and increase in profit margin. 

Three Determinants of Cost push inflation: 

1. Fluctuations in Output and Supply—The wide fluctuations in production of foodgrains has been mainly responsible for price rise. There was a remarkable increase in production Of food grains during first two plans and supply of food grains was good. But fluctuation in foodgrains production, the tactics of holding, resulted in an increase in price. 

2. Public Distribution System—The defective working of the public distribution system results in an uneven supply of various goods, ultimately affecting the prices of essential commodities by way of artificial scarcity. 

3. Rise in Wages—The rise in the general price level raises the cost of living which in turn, leads to demand for higher wages by workers. When the demand for higher wages is met, it will lead to further rise in costs or prices.