A difference between a monetary regime and monetary policy is that a monetary regime:
A)is a predetermined response while a monetary policy has more flexibility.
B)has more flexibility while monetary policy is a predetermined response.
C)depends on the economic conditions while the monetary policy does not.
D)is not favored while monetary policy is.

Question

Quizplus · Accepted Answer

A monetary regime is a broader framework or set of rules that guides the monetary policy, often with predetermined responses to certain economic conditions. In contrast, monetary policy within that regime can be more flexible, adjusting to current economic situations as needed.

A Difference Between a Monetary Regime and Monetary Policy Is