Question

Monetary policy: a.must be described in terms of money-supply targets.b.must be described in terms of interest-rate targets.c.can be described either in terms of the money supply or in terms of the interest rate.d.cannot be accurately described in terms of the interest rate or in terms of the money supply.

Answer 1

monetary policy can be described either in terms of money supply or in terms of interest rate.

Step-by-step explanation:

monetary policy has to do with the way the central bank or any authority that governs how money is being supplied and interest rate in an economy. the most important form of the money is credit which can come inform of loans, mortgages, etc. monetary policy can be described either in terms of money supply or in terms of interest rate in the sense that it regulates both the money and interest rate in an economy.