Monetary Policy

monetary policy

Monetary policy is the process of managing a country's money supply to achieve specific policy goals — such as constraining inflation, achieving full employment, social well-being, or other definitions of economic or political stability. See for instance reference to global debt and climate change in the context of money policy below.

Monetary policy can involve open market operations to affect interest rates and exchange rates, setting and enforcing bank cash reserve rules/ requirements, setting capitalization standards (defining "capital adequacy") for private banks and acting as the lender of last resort.

Policy can also involve direct restrictions on lending and direct money creation though these are less commonly used instruments.

[+] vs. monetary reform

money creation, economic policy, Bank of Canada, Bretton Woods System, exchange rate, Bank of International Setttlements


[+] Position: The only object of monetary policy should be stable and low inflation.

[+] Position: The object of monetary policy should be full employment.

[+] The object of monetary policy should be to minimize private and public debt.

[+] Position:The best monetary policy

[+] Position: Global trade regimes, credits and banking reserve rules must be reformed to advance debt relief and incentives to implement polices and practices that reduce and mitigate climate change

Sources and Resources