EMP causes a country's currency to appreciate, which is part of the _____ for monetary policy.
A) interest rate
B) wealth
C) credit
D) fiscal

Question

Quizplus · Accepted Answer

EMP (Exchange Market Pressure) influencing a country's currency to appreciate is part of the interest rate channel for monetary policy. This is because changes in interest rates can affect exchange rates, which in turn can lead to currency appreciation or depreciation.

EMP Causes a Country's Currency to Appreciate, Which Is Part