The only way to reverse the worsening situation seems to be

C
42.C【精析】该题为细节题。根据第三段第一句“The situation has de- generated to the point that the only way to turn it around is to think of some very extreme changes in policy.”可以看出通货膨胀的情况已经相当恶化，采取某些极为激进的政策是扭转局势的唯一方式；C项中的“radical”意为“激进的”，故选C。