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Exam A6 Topic 2 Question 60 Discussion
CIPS Exam A6 Topic 2 Question 60 Discussion
Actual exam question for CIPS's A6 exam
Question #: 60
Topic #: 2
[All A6 Questions]
Which of the following best describes the term 'monetary policy'?
A
The government controlling economic activity by regulating the level of taxation
B
The government controlling economic activity by influencing public service provision
C
The government controlling economic activity by influencing the rate of interest
D
The government controlling economic activity by regulating monopolies.
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Suggested Answer:
B
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Sep 09, 2024, 06:59 PM
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Domonique
1 months ago
I believe it's C as well, because regulating the rate of interest is a key tool in managing the economy.
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Carma
1 months ago
I'm not sure, but I think it's between A and C.
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Ivory
1 months ago
Haha, I thought monetary policy was the government controlling how much money I have in my pocket. Guess I need to study economics a bit more.
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Lindsey
26 days ago
Haha, I thought monetary policy was the government controlling how much money I have in my pocket. Guess I need to study economics a bit more.
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Bev
1 months ago
C) The government controlling economic activity by influencing the rate of interest
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Tamar
1 months ago
A) The government controlling economic activity by regulating the level of taxation
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Tamar
2 months ago
I agree with Martha, option C is the correct answer. Influencing interest rates is the primary tool of monetary policy.
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Julio
27 days ago
Yes, that's right. It's all about how the government influences the economy through interest rates.
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Youlanda
1 months ago
I agree, controlling economic activity by influencing the rate of interest makes sense.
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Noe
1 months ago
I think option C is the correct answer. Influencing interest rates is the primary tool of monetary policy.
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Celestina
2 months ago
I agree with Christa, because monetary policy is about controlling the rate of interest.
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Christa
2 months ago
I think the answer is C.
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Martha
2 months ago
C) The government controlling economic activity by influencing the rate of interest. This is the textbook definition of monetary policy.
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Vallie
26 days ago
No, those fall under fiscal policy. Monetary policy is specifically about interest rates.
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Vi
1 months ago
So, it's not about taxes or public services then?
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Olive
1 months ago
I agree, monetary policy is all about controlling the economy through interest rates.
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Alona
2 months ago
I think the answer is C) The government controlling economic activity by influencing the rate of interest.
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Domonique
1 months agoCarma
1 months agoIvory
1 months agoLindsey
26 days agoBev
1 months agoTamar
1 months agoTamar
2 months agoJulio
27 days agoYoulanda
1 months agoNoe
1 months agoCelestina
2 months agoChrista
2 months agoMartha
2 months agoVallie
26 days agoVi
1 months agoOlive
1 months agoAlona
2 months ago