Question

Monetary policies adjust the amount of money in circulation True Or False

Answer 1

The statement is -True.

The monetary policies are adjusting the amount of money in circulation in the country. These types of policies are implemented usually by the Central Bank of the country. When there's bigger amount of money let in circulation it means that the currency of the country will lose on value, and vice versa, if the amount of money let in circulation is reduced than the value of the currency of the country will increase.