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21 December, 13:14

Expansionary monetary policy is used when a government -

A. increases its money supply to boost the economy.

B. decreases its money supply to slow the economy.

C. increases its money supply to speed business expansion.

D. decreases its money supply to curb business expansion.

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Answers (1)
  1. 21 December, 13:20
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    The answer that would best complete the given statement above would be option A. Expansionary monetary policy is used when a government to increases its money supply to boost the economy. This is to encourage economic growth and fight inflation. Hope this answers your question.
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