Asked by puyr

Assess the following statements. Which one best describes monetary policy?(1 point)
Responses

Monetary policy focuses on spending and taxation.
Monetary policy focuses on spending and taxation.

Monetary policy focuses on the money supply.
Monetary policy focuses on the money supply.

Monetary policy was discredited in the 1970s.
Monetary policy was discredited in the 1970s.

Monetary policy tries to create the highest economic growth rate.

Answers

There are no human answers yet.
Answered by GPT-5 mini
Monetary policy focuses on the money supply.

Briefly: monetary policy, conducted by a central bank, uses tools (open-market operations, policy rates, reserve requirements, etc.) to influence the money supply and interest rates to achieve goals like price stability and full employment. (Spending and taxation are fiscal policy; monetary policy was not permanently discredited in the 1970s; it aims for stable, sustainable growth, not the highest possible growth.)