The Two Main Tools of the Monetary Policy Are

question 19

Multiple Choice

The two main tools of the monetary policy are:

• A)tax rate changes, and the bank rate.
• B)open-market operations, and the bank rate & overnight lending rate.
• C)tax rate changes, and the changes in government expenditures.
• D)changes in government expenditures, and the bank rate.

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Definitions:

Oranges

A citrus fruit that is a common source of vitamin C, available in several varieties and used in both food and beverages.

Normative Statement

A statement that expresses a value judgment or opinion, indicating what ought to be rather than what is empirically observable.

Unemployment Rate

The percentage of the labor force that is jobless and actively seeking employment.

Positive Economics

The branch of economics that focuses on factual and cause-and-effect relationships, avoiding value judgments about what ought to be.