Policy is the actions taken by the to influence the real GDP and the inflation rate in the economy.

Question

Social Studies

Xander Rojas

4 December, 09:07

Policy is the actions taken by the to influence the real GDP and the inflation rate in the economy.

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Madeline Coleman · Answer 1

Monetary, Reserve Bank.

Explanation:

Monetary policy is the actions taken by the Reserve Bank to influence the real GDP and the inflation rate in the economy. The Reserve Bank may make certain actions, commonly known as monetary policies, in order to keep a check on the inflation rate and price stability. By doing so, the Reserve Bank aims to control inflation, growth, real GDP, etc. through instruments such as cash reserve ratio, open market operations, discount rates, interests on reserves, etc.