The supply of money is determined by:
A) the value of money
B) the price level
C) the Reserve Bank
D) the demand for money

Question

The supply of money is determined by: 
A) the value of money
B) the price level
C) the Reserve Bank
D) the demand for money

Quizplus · Accepted Answer

The supply of money is primarily determined by the central bank, which in most countries is the Reserve Bank. The central bank controls the money supply by adjusting interest rates, open market operations, and reserve requirements for commercial banks. The other options listed may have an impact on the economy and the demand for money, but they do not directly determine the supply of money.

The Supply of Money Is Determined By