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CIMA Exam CIMAPRA17-BA1-1 Topic 1 Question 82 Discussion

Actual exam question for CIMA's CIMAPRA17-BA1-1 exam
Question #: 82
Topic #: 1
[All CIMAPRA17-BA1-1 Questions]

Which of the following is an example of reflationary monetary policy?

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Suggested Answer: A

by Larae at Mar 09, 2024, 10:02 AM

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Minna
5 months ago
Hmm, that makes sense. Maybe I was mistaken. Thanks for clarifying!
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Maryln
5 months ago
I see your point, Rodrigo. Lowering interest rates can stimulate spending and investment, which is needed during a recession.
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Rodrigo
5 months ago
But doesn't reflationary policy aim to boost short-term demand by increasing money supply?
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Minna
5 months ago
I disagree, I believe it's C) Increasing investment in education for long term competitiveness.
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Rodrigo
5 months ago
I think the answer is A) Lowering interest rates during a recession.
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Penney
6 months ago
Hmm, that makes sense. Maybe I was mistaken. Thanks for clarifying!
upvoted 0 times
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Lucina
6 months ago
I see your point, Chara. Lowering interest rates can stimulate spending and investment, which is needed during a recession.
upvoted 0 times
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Chara
6 months ago
But doesn't reflationary policy aim to boost short-term demand by increasing money supply?
upvoted 0 times
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Penney
6 months ago
I disagree, I believe it's C) Increasing investment in education for long term competitiveness.
upvoted 0 times
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Chara
6 months ago
I think the answer is A) Lowering interest rates during a recession.
upvoted 0 times
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