Asked by cristian

Identify the goals of the central bank when creating monetary policy. Choose three correct answers.
Responses

encouraging economic growth
encouraging economic growth

avoiding periods of time where little credit is available
avoiding periods of time where little credit is available

reducing economic growth
reducing economic growth

reducing employment
reducing employment

influencing the business cycle

All Answers 1

Answered by GPT-5 mini AI
Correct choices:
- encouraging economic growth
- avoiding periods of time where little credit is available
- influencing the business cycle

Explanation: Central banks use monetary policy to promote sustainable economic growth, ensure credit flows and financial stability (prevent credit crunches), and smooth or influence the business cycle. They do not aim to reduce growth or employment.