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Which of the following is a tool of monetary policy used by central banks to control the money supply? a) Fiscal policy b) Discount rate c) Trade policy d) Progressive taxation

Economics:

10th Edition

ISBN:9781285859460

Author:BOYES, William

Publisher:BOYES, William

Chapter15: Macroeconomic Viewpoints: New Keynesian, Monetarist, And New Classical

Section: Chapter Questions

Problem 11E

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Question

Which of the following is a tool of monetary policy used by central banks to control the money supply? a) Fiscal policy b) Discount rate c) Trade policy d) Progressive taxation

Rules by which an authority (usually a government) imposes a financial obligation on individuals or organizations within its domain. Property or transactions can be taxed. While taxes are primarily intended to fund the operation of a government, many tax laws are created to encourage or discourage certain behaviors by citizens or companies.

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