Why is the slow growth that can result from a contractionary policy a positive effect? it can increase loan interest rates. it can decrease available credit. it can increase the money supply. it can decrease inflation.

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05-05-2022
Business

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Why is the slow growth that can result from a contractionary policy a positive effect? it can increase loan interest rates. it can decrease available credit. it can increase the money supply. it can decrease inflation.

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ewomazinoade ewomazinoade · Answer 1 · 2022-05-09T05:15:10-04:00

The slow growth that can result from a contractionary policy is a positive effect because it can decrease inflation.

What is a contractionary policy?

A contractionary policy are policy steps taken by the government of a country or its Central bank to reduce the money supply in the economy. When money supply is reduced, inflation is also reduced.

An example of a contractionary policy is when the government reduces its spending or increases taxes.

To learn more about contractionary policy, please check: https://brainly.com/question/9504329

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BeanJuiceMakMeGoZoom BeanJuiceMakMeGoZoom · Answer 2 · 2022-07-14T10:26:57-04:00

BeanJuiceMakMeGoZoom BeanJuiceMakMeGoZoom

14-07-2022

Answer:

its D

Explanation:

Edg 2022

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What is a contractionary policy?

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