Discuss the political pressures associated with monetary policy. What has the United States done to try to reduce these political pressures?
Please provide the best answer for the statement.
Monetary policy is subject to political pressure, though not as directly as fiscal policy. Politicians often want to stimulate the economy before an election to make the economy stronger, giving the incumbent an advantage. Many countries, like the United States, have attempted to limit political pressures associated with monetary policy by creating an independent central bank run by economists. Central banks control the interest rates and are somewhat insulated from political pressure since the economists are not public ally elected officials.
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A higher rate of saving should lead to
A) higher current consumption. B) less growth. C) more investment, higher capital growth, and more future consumption. D) a higher price level and reduced future consumption.
If something is used as a medium of exchange, then a necessary condition is that it must be
a. a precious metal, such as gold or paper money b. convertible into gold c. used in barter exchange d. in abundant supply e. accepted by those using it as payment for any purchase
When formulating financial policy, managers also have to consider the appropriate balance between:
A. receivables and payables. B. interim and final dividends. C. short-term and medium-termfinance. D. short-term and long-termfinance.
The slope of a straight line is not constant unless the line is vertical or horizontal.
Answer the following statement true (T) or false (F)