Question

Write short notes on Objective of Monetary Policy.

Answer 1

Hey.... Here is ur answer

Monetary policy is the macroeconomic policy laid down by the central bank. It involves management of money supply and interest rate and is the demand side economic policy used by the government of a country to achieve macroeconomic objectives like inflation, consumption, growth and liquidity.

The objectives are:

1. High employment

2. Economic growth

3. Price stability

4. Interest-rate stability

5. Stability of financial markets

6. Stability in foreign exchange markets..

Hope this will help u... : )