Policies that affect the supply,demand,and value of a nation's currency are:

Question

Quizplus · Accepted Answer

Monetary policies, which involve actions taken by a country's central bank, can affect the supply of money and interest rates in the economy, which in turn can impact the demand for the nation's currency and its value relative to other currencies. Fiscal policies, such as government spending and taxation, can also have an indirect effect on the currency by influencing factors such as inflation and economic growth, but they do not directly impact the supply and demand of the currency in the same way that monetary policies do. Therefore, the best choice for policies that affect the supply, demand, and value of a nation's currency is monetary policies (option D).

Policies That Affect the Supply,demand,and Value of a Nation's Currency