Question 46
MediumOriginal questionWhich monetary measure helps to correct excess demand?
Show the answer and explanation
CorrectNot quiteAnswer C
Correct answer: C
Explanation
A higher repo rate makes credit costlier, so borrowing and spending fall.
The other three make credit cheaper or more plentiful.
- Concept
- Monetary policy for excess demand
- Typical timeTypical
- 70 s
- Your timeYours
- —
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