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How does monetary policy affect the economy? Explain the fundamentals behind why changes in the money supply have real effects on the economy and the monetary transmission mechanism. Explain how monetary policy can be used to effectively stabilize output and smooth business cycles. Evaluate the role of monetary policy and how it affects the macroeconomy given the implications of the financial accelerator.

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Yusra Anees
Yusra AneesLv10
28 Sep 2019
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