Monetary policy is regulated by ?
Correct answer: B. Central Bank
- A. Money lenders
- B. Central Bank
- C. Private entrepreneurs
- D. Government policy
Explanation
The central bank conducts monetary policy by influencing interest rates, money supply and credit conditions. Private lenders and entrepreneurs do not regulate the overall monetary system.
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The economy is studied as a whole through national income, gross domestic product, inflation, unemployment, economic growth and business cycles. Coverage includes aggregate demand and supply, consumption and investment, money and banking, fiscal and monetary policy, exchange rates and balance of payments, which distinguishes macroeconomics from the study of individual markets.
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