asked 167k views
1 vote
Contractionary monetary policy is designed to:

asked
User Valerion
by
7.3k points

1 Answer

0 votes

Answer:

Step-by-step explanation:

Contractionary monetary policy is driven by increases in the various base interest rates controlled by modern central banks or other means producing growth in the money supply. The goal is to reduce inflation by limiting the amount of active money circulating in the economy.

answered
User Niksfirefly
by
8.3k points
Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.