When a Central Bank makes a decision that will cause an increase in both the money supply and aggregate demand, it is:
A. following a loose monetary policy.
B. following a tight monetary policy.
C. following a contractionary monetary policy.
D. reversing quantitative easing.
Answer:A
When a Central Bank makes a decision that will cause an increase in both the money supply and aggregate demand, it is:
A. following a loose monetary policy. B. following a tight monetary policy. C. following a contractionary monetary policy. D. reversing quantitative easing.
Explanation: Type: Multiple Choice Category: Analyze