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3.6.1 What is monetary policy

Card 1 of 19

The Bank of England's own interest rate, used as the benchmark for commercial banks' rates, is the [     ].

A

The Bank of England's own interest rate, used as the benchmark for commercial banks' rates, is the Bank Rate.

B

It cools spending, reducing pressure on prices when demand exceeds the economy's supply.

C

The transmission mechanism is the path a Bank Rate decision follows before changing spending, output and prices.

D

The Monetary Policy Committee decides Bank Rate.

Card 1 of 19

3.6.1 What is monetary policy Flashcards

  1. GCSE
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  3. /3.6.1 What is monetary policy

19 flashcards on OCR GCSE Economics 3.6.1 What is monetary policy: the key terms, formulae and calculations you need to recall for Component 01 and Component 02.

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