Economics (AS & A Level) · Oct / Nov 2025 · Paper 12 · Question 21
9708Monetary policy
What is an example of expansionary monetary policy?
- Athe central bank increasing the money supply
- Bthe central bank causing an appreciation of the country’s foreign exchange rate
- Cthe central bank increasing controls on credit lending
- Dthe central bank increasing the minimum lending rate of interest
As printed in the paper
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Correct answer: A. the central bank increasing the money supply
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