English, asked by natharavathi859, 15 days ago

what are the effects of money on Economy​

Answers

Answered by kavya143u
0

Answer:

An increase in the money supply means that more money is available for borrowing in the economy. This increase in supply–in accordance with the law of demand–tends to lower the price for borrowing money. When it is easier to borrow money, rates of consumption and lending (and borrowing) both tend to go up.

Answered by Khushbupl95kr
0

Answer:

With the rapid and uncontrolled inflow of money to the country, the consumption rates and especially luxury consumption are increase. However, there may be significant increases in exports, imports, foreign payments deficit, inflation, interest, and unemployment rates.

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