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Review:

Monetary Policy

overall review score: 4.5
score is between 0 and 5
Monetary policy refers to the process by which a central bank manages the supply of money, often targeting an inflation rate or interest rate to ensure price stability and economic growth.

Key Features

  • Interest rate manipulation
  • Open market operations
  • Reserve requirements
  • Communication strategies

Pros

  • Can stimulate economic growth
  • Helps control inflation
  • Provides stability to the financial system

Cons

  • Can be difficult to predict outcomes
  • May have unintended consequences on different sectors of the economy

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Last updated: Sat, Dec 7, 2024, 06:53:35 AM UTC