The impact of monetary policy on the economy

Monetary policy is the process by which a central bank or a government influences the supply of money and interest rates in the economy. Monetary policy can have various effects on the economy, such as stimulating growth, controlling inflation, stabilizing exchange rates, and promoting financial stability. Here are some web search results that explain more about the impact of monetary policy on the economy:

• Role of Monetary Policy in the Economy | St. Louis Fed: This article provides an overview of the role of monetary policy in the U.S. economy, and how the Federal Reserve pursues its dual mandate of price stability and maximum sustainable employment. It also discusses the recent actions taken by the Fed in response to the COVID-19 pandemic and its economic consequences.

• Role of monetary policy in economic growth and development: from theory to empirical evidence | Emerald Insight: This article examines the effects of credit to private sector on the business and trade activities, and how monetary policy can facilitate financial inclusion and public-private partnership. It also presents an empirical model to determine the role of credit expansion in economic growth and development, using panel data from 186 countries.

• Impacts of Monetary Policy | Small Business - Chron.com: This article explains how monetary policy can affect small businesses, by influencing the cost and availability of credit, the demand for goods and services, and the profitability and competitiveness of firms. It also provides some examples of how monetary policy can stimulate or restrain the economy in different situations.

• Monetary Policy & the Economy - OeNB: This is a quarterly publication that provides analyses and studies on central banking and economic policy topics, such as inflation, exchange rates, fiscal policy, financial stability, and macroeconomic developments. It is published by the Oesterreichische Nationalbank, the central bank of Austria