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What is monetary policy ? How it is useful in the assessment of the modern economy.
Monetary policy is what central banks use to manage the amount of liquidity in the economy. Liquidity includes cash, credit and money market mutual funds.
The regulation of the money supply and interest rates by a central bank, such as the Federal Reserve Board in the U.S., in order to control inflation and stabilize currency. Monetary policy is one the two ways the government can impact the economy. By impacting the effective cost of money, the Federal Reserve can affect the amount of money that is spent by consumers and businesses.
The regulation of the money supply and interest rates by a central bank, in order to controll inflation and stabilize currency.
Anything that is generally accepted as a standard of value and a measure of wealth in a particular country or region.
Monetary Policy are the guidelines, Rules, Laws, which are designed by the government to Improve the revenue of the country so as to cover the gap in the fiscal deficit of the nation. The good monetary policies also takes care of Economic Development, Development of the Trade and Commerce (Local as well as Import & Export) , Improve the standard of living of the society, Providing subsidies to the Citizen below the poverty line, Social Welfare etc