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The means by which entities, as government agencies, as the Federal Reserve, Department of the Treasury, and institutions as the central bank, control the supply of money (M1, M3). This process includes trading in foreign exchange markets.
Monetary policy can but viewed in its two forms: expansionary and contractionary. Expansionary policy increases the total money supply (liquidity) and is used to fight unemployment or recessionary pressures, mainly by lowering interest rates. Direct cash infusions to struggling private institutions or government rebates to individuals can be used as emergency measures to avoid panic runs on banks as was seen in the 1929 market crash. These measures are very dangerous and are considered highly inflationary and destabilizing to currency exchange rates. Economic theory would indicate that such uncontrolled printing of money, indicates failure of fiscal policy (which refers to government borrowing, spending, and taxation).
Contractionary policy is used to control inflation by raising interest rates. A "perfect storm" scenario would be when a government "should be" using a contractionary policy and resorts to an expansionary policy.
The world is very critical of the monetary policy of the United States and is punishing it by devaluing its currency.
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Monetary policy is how a government controls the amount of money in the economy, mainly by adjusting interest rates and managing the money supply.
Monetary Policy is fine buts its gonna do allot better with the New Monetary Credit scheme from Numonie The Financier so the 32 trillion we owe is gone soon
Getting more money all the time. Continuous money supply because you're ballin'.
As I was selling crack I was experiencing an expansionary monetary policy.
The act of a central bank printing more money.
Zimbabwe conducted Expansionary Monetary Policy by printing a lot of money.