Which of the following would be considered an example of monetary policy?
A)A broad government initiative to reduce the country's reliance on agriculture and promote high-technology industries.
B)A reduction in income tax rates.
C)Provision of additional cash to the banking system.
D)A decision by a developing country to reduce government control of the economy and to become more market-oriented.

Question

Quizplus · Accepted Answer

Monetary policy focuses on the determination of the nation's money supply and thereby controlling the nation's interest rates. A provision of additional cash to the banking system will increase the money supply.

Which of the Following Would Be Considered an Example of Monetary