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Monetary Policy
The process by which a central bank controls the supply of money in an economy, often targeting interest rates to promote economic stability.
Fiscal Policy
A government's use of spending and taxation to influence the economy.
Aggregate Demand
The aggregate requirement for products and services in an economy at a specific general price point during a certain time frame.
Money Demand Curve
A graphical representation showing the relationship between the interest rate and the quantity of money that people want to hold.
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