Economics 9708 · AS & A Level · Monetary policy

Monetary policy — practice question

Monetary policy can be used to raise the level of business activity. Which action would illustrate this?

  • Acurbing consumption through controls on credit
  • Blowering reserve requirements of banks to increase lending
  • Creducing government spending to achieve a budget surplus
  • Dstimulating company investments by increasing interest rates

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