A policy instrument over which the authorities have complete control is:
A) the stock market index.
B) the cash rate.
C) monetary aggregates.
D) the exchange rate.

Question

Quizplus · Accepted Answer

The cash rate is set by the central bank and is under their direct control, unlike the stock market index, monetary aggregates, or the exchange rate, which are influenced by market forces and other factors.

A Policy Instrument Over Which the Authorities Have Complete Control