Expansionary Monetary Policy
Monetary policy, Finance minister, Central bank
978-613-7-19613-7
6137196135
80
2011-09-30
34,00 €
eng
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Please note that the content of this book primarily consists of articles available from Wikipedia or other free sources online. In economics, expansionary policies are fiscal policies, like higher spending and tax cuts, that encourage economic growth. In turn, an expansionary monetary policy is monetary policy that seeks to increase the size of the money supply. In most nations, monetary policy is controlled by either a central bank or a finance ministry. Neoclassical and Keynesian economics significantly differ on the effects and effectiveness of monetary policy on influencing the real economy; there is no clear consensus on how monetary policy affects real economic variables. Both economic schools accept that monetary policy affects monetary variables. Monetary policy relies on a number of tools: monetary base, reserve requirements, discount window lending and interest rates.
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