Which Statement Correctly Describes How Monetary Policy Affects the Economy

question 187

Multiple Choice

Which statement correctly describes how monetary policy affects the economy?

• A) House sales are down, due to increases in the money supply.
• B) The extra money pumped into the economy by the central bank is decreasing exports.
• C) The decreased supply of money is helping sell exports abroad.
• D) Businesses are investing more, now that monetary policy has attacked the inflationary gap.
• E) The extra money pumped into the economy by the central bank is creating more jobs.

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Definitions:

tRNA

Transfer RNA; a type of RNA molecule that helps decode a messenger RNA (mRNA) sequence into a protein during protein synthesis.

Regulator Gene

A gene involved in controlling the expression of one or more other genes, often by producing a protein that can enhance or suppress gene activity.

Transcription

The process of converting DNA into RNA, specifically messenger RNA (mRNA), which then directs protein synthesis.

Repressor Molecule

A protein that inhibits gene expression by binding to the operator or associated silencers.