According to ______,it is appropriate to reduce the money supply in order to reduce inflation.
A) New classical economists
B) Supply-side economists
C) Monetarists
D) Marxists

Question

Quizplus · Accepted Answer

Monetarists believe that controlling the money supply is the key to stabilizing the economy and fighting inflation. They argue that inflation occurs when the money supply grows faster than the rate of economic growth, so they recommend reducing the money supply to slow down inflation. New classical economists and supply-side economists tend to focus more on supply-side factors such as reducing taxes and regulations to stimulate economic growth. Marxists have a different perspective on inflation, viewing it as a symptom of deeper structural problems in capitalist economies.

According to ______,It Is Appropriate to Reduce the Money Supply