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The stimulus package affects money supply by decreasing debts using budget cuts in areas where money isn't needed as much. It also lowers money supply in areas that can benefit from a higher budget.

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How does increasing money supply affect expansionary monetary policy?

Expansionary Monetary Policy is adopted by the monetary authorities to increase the money supply of an economy. If money supply is increasing, and central bank adopts an expansionary monetary policy, it would result in inflationary pressures.


What is tight money?

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What is the tight monetary policy?

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What does loosening monetary policy means?

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What aspect of a government's economic policy deals with the money supply?

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What has the author Douglas Fisher written?

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What monetary policy strategy of the Federal Reserve do these headlines?

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What has the author Thomas M Havrilesky written?

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What best describes monetary policy?

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What refers to the adjustment of an economy's money supply by central bank?

A+ answer: monetary policy