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Money supply is determined exogenously by the monetary authority usually central bank of a country.

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13y ago

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How is market supply determined?

they want money


What is The supply of money in the US economy determined primarily b?

Federal Reserve


Why is the supply of money in an economy not solely determined by central bank?

The supply of money IS controlled by the central bank. However, in some countries the politicians interfere with the Central Bank.


Which agencies supervises banking systems and regulates the money supply?

Board of governors, Federal Reserve system


What agencies supervise banking systems and regulate the money supply?

Board of governors, federal reserve system


Why is the money supply curve vertical?

The money supply curve is vertical because the central bank has the ability to control the amount of money in circulation by adjusting interest rates and implementing monetary policy. This means that the supply of money is not determined by market forces, but rather by the decisions of the central bank.


How is the value of money determined?

The value of money is determined by factors such as supply and demand, economic stability, inflation rates, and government policies. These factors influence how much a currency can buy in terms of goods and services.


Why is gold so much money?

As with any other commodity, price is determined by supply and demand. Gold has a relatively low supply with high demand, which causes the price to rise.


What determines the price of a food item at the grocery store?

The price of a product at a grocery store is determined by how the amount of money it takes to manufacture the packaging. Also, the price of the product alone is determined by how much demand there is to the consumer and how much supply the distributor can provide (Supply and Demand).


What is meant by exogenous supply of money?

Exogenous supply of money refers to the portion of the money supply that is determined by external factors or authorities, rather than by the market itself. This typically involves central banks or government policies that inject or withdraw money from the economy through mechanisms like open market operations, reserve requirements, or interest rate adjustments. In this context, the money supply is influenced by deliberate actions rather than being solely driven by demand and supply dynamics within the economy.


The price of a product is the amount of money exchanged for the good what determines the price of these goods?

The price of any product is determined by the laws of demand and supply.


Is money determined by wealth or by money?

money is determined by both because you need money to be wealthy