Reserve Requirements; This Tells The Bank How Much They Must Have On Reserve. Report
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Source of article is money
Money is anything, item or is an article that is accepted as medium for exchange of goods and services or payment of any debts in an economy. The primary functions of money are distinguished, for example, a unit of account, a store of value, medium of exchange, standard of deferred payments. Money was developed or came into existence in 1864 when people were barter trade from barter trade to cowry shells to metals, then to gold and finally to paper money that being used as fiat money in the economy
Article; Monetary Policy
Monetary policy refers to the process by which a government, the central bank controls the supply of money in order to achieve its goals and objectives. To attain a sustainable economy using its tools in macroeconomic analyze, for example, economic growth, stable prices, etc.
If the monetary policy fails it can lead to the given effects in the economy it depends on, for instance; inflation recession high unemployment rate (Malpass). Decrease in the importation and exportation of goods and services in an economy and such effects happens in the economy the government and central banks takes certain measures to regulate the economy. Some the tools the government uses to control the money supply are;
Open market operation market (OMO); this buys and sells Treasuries and other securities.
Taxation on outputs for example imports and exports to the country
Increase and decrease in government expenditure.
According to the definition, I suggest that Monetary Policy as an article on economics in the macroeconomics analysis should use the regulatory or the measures that can be used to stabilize the economy. On the other hand, achieve its goals that are stable prices, full employment, stable markets and sustainable economy (Malpass).
The fundamental economic principles are sometimes the refers to the economic problems, and they include; Scarcity; This is where an individual uses the available resources to meet his or her wants or needs.
Opportunity cost and product possibility frontier; this is when alternatives are foregone that is why the economy chooses two commodities to check on the total output.
Choice; after the alternatives have been foregone then an individual makes decisions on what to produce or consume in order to meet his or her wants/needs.
Malpass David, “Monetary Policy Relief: Finally Adding Growth” Forbes. Web. 2014
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