Controlling the quantity of money and interest rates to influence aggregate economic activity is called
A) fiscal policy.
B) bank antitrust policy.
C) foreign policy.
D) monetary policy.

Question

Quizplus · Accepted Answer

Controlling the quantity of money and interest rates is the main function of monetary policy. Fiscal policy refers to government spending and taxation policies aimed at achieving economic goals. Bank antitrust policy is a regulatory framework that seeks to ensure fair competition within the banking sector. Foreign policy refers to a government's strategy in dealing with other countries.

Controlling the Quantity of Money and Interest Rates to Influence