How does monetary policy affect a country's economy? A. It adjusts the amount of currency available. B. It balances tax rates with government spending, O c. It limits the kinds of goods that can be imported. O D. It sets rules that protect workers and consumers.​

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Answer:

A is the correct answer

The monetary policy affects a country's economy by adjusting the amount of currency available in the market. Hence, Option A is correct.

What do you mean by monetary policy?

Controlling an economy's money supply and the routes by which new money is provided is known as monetary policy.

A central bank's goal in managing the money supply is to affect macroeconomic variables like inflation, consumption growth, economic expansion, and total liquidity.

Hence, The monetary policy affects a country's economy by adjusting the amount of currency available in the market. Option A is correct.

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