Monetary policy
Monetary policy or monetary policy refers to a series of measures taken by governments and central banks to maintain monetary supply, usefulness, monetary value, and interest rates in one country to maintain economic growth and stability. In general, monetary theory is considered to be the most fundamental and well-understood measure for currency reform. To control the volume of money, the government or the central bank use means to adjust the open market manipulation, the discount rate, and the reserve requirement ratio. Monetary policy is usually defined as an expansionary monetary policy and a long accumulation monetary policy. Literally, the policy of expansion is to increase the supply of money, and the contraction policy adheres to the opposite principle. When you increase the supply of money, it means lowering the interest rate and helping to reduce the unemployment rate. In the opposite situation, the interest rate / interest rate is raised to suppress the inflation. Monetary policy is usually run against the national state of the country because it must take into account both government revenues and expenditures.