Extract C (lines 12–14) states: 'To maintain macroeconomic stability, the Monetary Policy Committee (MPC) must analyze a wide array of economic indicators before adjusting the official Bank Rate.'
Explain two factors considered by the Bank of England's MPC when deciding whether to change the Bank Rate.
176 exam-style questions on AQA A Level Economics 2.4 Financial markets and monetary policy (A-level only), covering 2.4.1 The structure of financial markets and financial assets, 2.4.2 Commercial banks and investment banks, 2.4.3 Central banks and monetary policy, and 2.4.4 The regulation of the financial system. Each one has a worked solution and a mark scheme showing where the marks go.