Question

A government's monetary policy is its plan to control

Answer 1

D. The money supply.

The government is in control of supplying money, which makes up our economy. A governments "monetary policy" is pretty much the way the government controls the money. Thanks for coming to my ted talk.

Answer 2

The correct option is (D) the money supply.

Further Explanation:

Monetary policy is referred to as the “central bank’s actions” and “communication” that deals with the money supply. It includes cash, checks, credit and money market “mutual funds”. The most common type of money is “credit”. It includes bonds, loans, and mortgages.

Monetary policy is broadly divided into two categories as either contradictory or expansionary.  

Monetary policy increases “liquidity” to create “economic growth”, which reduces the liquidity to stop inflation. The central bank uses interest rates, bank’s reserve requirements and also the amount of ‘government bonds’ which should be held by banks to influence the policy. All the tools influence how much a ‘bank’ can lend. The ‘volume of loans’ influences the money supply.

Learn More:

1. Though the outcomes of Schenck and New York Times differed, what did these decisions have in common? The government has a heavy burden to prove harm. The government can limit speech that causes harm. The government has unlimited power to limit speech. The government must follow the first amendment.

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2. how did California differ from the united states in terms of interactions of whites and natives

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Answer Details:

Grade: High School

Chapter: The Monetary Policy

Subject: Social Studies

Keywords:

money supply, the central bank, communication, credit, mutual funds, loans, expansionary, contradictory