The Government Uses ________ to Regulate the Amount of Money

question 66

Multiple Choice

The government uses ________ to regulate the amount of money banks lend.

• A)monetary policy
• B)fiscal policy
• C)banking policy
• D)tax cuts

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Definitions:

Mandatory

Something that is required or obligatory by law or rules.

Chilling Effect

A chilling effect occurs when the exercise of rights or freedoms is discouraged by the threat of legal sanction or other negative consequences, leading to self-censorship or avoidance of certain actions.

Arbitration

A method of dispute resolution where an impartial third party, the arbitrator, makes a binding decision to resolve a dispute outside of court.

Contract Disputes

Conflicts that arise over the interpretation, fulfillment, or breach of a contract between two or more parties.