1.   In other words, demand for goods and services outstrips supply, which leads to inflation.

2.   Higher interest rates can reduce inflation by curbing any overheating in the economy that might lead to price rises if demand for goods and services outstrips their supply.

3.   Higher interest rates can reduce inflation by curbing any overheating in the economy which might lead to price rises if demand for goods and services outstrips their supply.

4.   Higher interest rates can reduce inflation by curbing economic overheating, which might in turn raise prices if demand for goods and services outstrips their supply.