Monetary policy involves changing:
A) banking laws to influence economic activity.
B) employment laws to influence economic activity.
C) the money supply to influence economic activity.
D) tax and expenditures laws to influence economic activity.

Question

Quizplus · Accepted Answer

Monetary policy is primarily concerned with the management of interest rates and the total supply of money in circulation and is generally carried out by central banks such as the Federal Reserve in the United States. Its main goal is to manage economic growth and inflation by controlling the money supply.

Monetary Policy Involves Changing