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The Objectives of Monetary Policy
The objective is maintaining price stability.
The overarching goal of most central banks in maintaining price stability is the associated goal of controlling inflation.
27The Objectives of Monetary Policy:associated goal of controlling inflation.
188The Central Bank’s Policy Rate:rate.a central bank can manipulate the amount of money in the money markets.
176The Relationship Between Fiscal and Monetary Policy:Policyassumption is made that wages and prices are rigid
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