Which of the following are the "conventional tools" of monetary policy?
i. Term Asset-Backed Securities Loan Facility
ii. Term Auction Facility
iii. Discount rate
A) i only
B) ii only
C) iii only
D) ii and iii
E) i, ii, and iii

Question

Quizplus · Accepted Answer

iii onlyThe conventional tools of monetary policy typically include the discount rate, open market operations, and reserve requirements. The Term Asset-Backed Securities Loan Facility and Term Auction Facility are considered unconventional tools, developed in response to specific financial crises.

Which of the Following Are the "Conventional Tools" of Monetary