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Sagot :
Therefore, the primary goal of monetary policy is to regulate the price and availability of money. Conducting monetary policy to attain price stability (low and stable inflation) and assist in managing economic fluctuations is a crucial function of central banks.
Over the past few decades, significant modifications have been made to the policy frameworks within which central banks conduct their operations. The two main objectives of monetary policy are to encourage "maximum" sustainable output and employment as well as "stable" economic. The Federal Reserve Act was amended in 1977 to include these objectives. Maximum employment, stable prices, and moderate long-term interest rates are the objectives of monetary policy.
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