Monetary policy affects aggregate demand and the economy through the money supply. For example, an increase in the money supply
Monetary Policy
Expansionary Monetary Policy: Goals, Tools, Effects
What's it: An expansionary monetary policy is a monetary policy aiming to increase the economy's money supply. The increased money supply should
Contractionary Monetary Policy: Effects, How it Works
What's it: A contractionary monetary policy is a monetary policy aimed at reducing the money supply's growth rate in the economy. Its aim is to reduce
Liquidity Trap: Concept, Causes, Impacts, Possible Solutions
What's it: A liquidity trap is a situation in which an expansionary monetary policy cannot further lower interest rates. As a result, these
Monetarist: Meaning, View on Inflation
Monetarist refer to economists who hold a strong belief that changes in the money supply are the main determinants of economic performance and
Advertisement
Monetary Policy: Purposes, Tools, Types
Monetary policy is a macroeconomic policy to influence the money supply and credit in the economy. The central bank or monetary authority is
Money: Meaning, Types, Importance, Functions, Demand, Supply
What's it: Money is everything we use or accept widely as a means of payment for goods and services, including coins and banknotes. It also