Which institution is responsible for controlling monetary policy?

Multiple choice question for Basic of Economics. Select an option, then review the explanation below.

Explanation

Monetary policy is managed by the central bank, which regulates the money supply and interest rates to influence the economy. Money lenders, private entrepreneurs, and government policies do not directly control monetary policy.

Practice related questions from the same subject.

1.Which of the following best describes deflation?
2.Under what condition can two nations benefit from engaging in international trade?
3.Which of the following represents a legitimate form of currency?
4.Which political ideology is best summarized by the phrase, "From each according to his ability, to each according to his needs"?
5.Which type of currency experiences a decline in its exchange rate due to a continuous balance of payments deficit?

Which institution is responsible for controlling monetary policy?

Explanation

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