Examlex
Which of the following is true?
Discount Rate
The rate at which the central bank lends money to commercial banks and other financial institutions through its discount window.
Open Market Operations
Open Market Operations involve the buying and selling of government securities by a central bank to control the money supply and interest rates in the economy.
Tight Monetary Policy
A central bank strategy aiming to slow economic growth by increasing interest rates and reducing the quantity of money in circulation.
Net Exports
The value of a country's total exports minus the value of its total imports, representing the trade balance.
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