Explain how this monetary policy affects the money supply


Question about Three tools of monetary policy

1. Describe the three tools of monetary policy.

2. Find an article that shows a change in the US monetary policy.

3. State the objective of this monetary policy.

4. Discuss the expected outcomes of that policy.

5. Summarize how this monetary policy has affected (is affecting) the economy through change in the money supply.

6. Explain how this monetary policy affects the money supply, interest rate, investment spending, aggregate demand, and equilibrium level of GDP.

7. Quote a sentence in your article that specifically refers to the monetary policy and provides evidence of its application that you indicated in question (6).

8. State the name of the article and place the link into your answer.

 

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Business Economics: Explain how this monetary policy affects the money supply
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