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Economics (AS & A Level) · Oct / Nov 2023 · Paper 11 · Question 29

9708Monetary policy

Which combination would represent the most expansionary set of monetary policies?

  1. Aincreased credit availability, interest rates up, money supply reduced
  2. Bincreased credit availability, interest rates down, money supply increased
  3. Creduced credit availability, interest rates up, money supply increased
  4. Dreduced credit availability, interest rates down, money supply reduced

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Correct answer: B. increased credit availability, interest rates down, money supply increased

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