Which of the following is NOT a goal of monetary policy?
Practice Questions
Q1
Which of the following is NOT a goal of monetary policy?
Controlling inflation
Maximizing employment
Stabilizing currency
Increasing government revenue
Questions & Step-by-Step Solutions
Which of the following is NOT a goal of monetary policy?
Step 1: Understand what monetary policy is. It is a way for a country's central bank to control the money supply and interest rates.
Step 2: Identify the main goals of monetary policy. These usually include controlling inflation, promoting employment, and ensuring currency stability.
Step 3: Look at the options given in the question. We need to find which one is NOT a goal of monetary policy.
Step 4: Recognize that increasing government revenue is not a direct goal of monetary policy. Instead, it is more related to fiscal policy, which involves government spending and taxation.
Step 5: Conclude that the correct answer is the option related to increasing government revenue.
