expansionary monetary policy


A type of fiscal policy focused on increasing the size of a country's money supply in relation to demand, taking advantage of the increased capital to announce tax cuts and higher government expenditures to spur economic growth. Reducing interest rates and allowing increased discount window lending are also indirect methods of expansionary monetary policy. See also contractionary monetary policy.

Use this term in a sentence

Related Videos


Have a question about this term? Ask for help in the
advertise here

Browse by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z