The ultimate goal of an expansionary monetary policy is to ________.
A) lower short-term interest rates
B) lower long-term interest rates
C) shift the labor demand curve to the right
D) shift the labor demand curve to the left

Question

Quizplus · Accepted Answer

The ultimate goal of an expansionary monetary policy is to stimulate economic growth by increasing aggregate demand, which in turn shifts the labor demand curve to the right, leading to higher employment and output.

The Ultimate Goal of an Expansionary Monetary Policy Is to ________