Monetary Policy and The Real Economy
As noted above, the relationship between monetary policy and the real economy is uncertain. It is important to note that contractionary monetary policy should not be confused with economic contraction (the latter being a reduction in economic output in the real economy).
Read more about this topic: Contractionary Monetary Policy
Famous quotes containing the words monetary, policy, real and/or economy:
“There is no legislation—I care not what it is—tariff, railroads, corporations, or of a general political character, that all equals in importance the putting of our banking and currency system on the sound basis proposed in the National Monetary Commission plan.”
—William Howard Taft (1857–1930)
“If matrimony be really beneficial to society, the custom that ... married women alone are allowed any claim to place, is as useful a piece of policy as ever was invented.... The ridicule fixed on the appellation of old maid hath, I doubt not, frightened a very large number into the bonds of wedlock.”
—Sarah Fielding (1710–1768)
“Where my imaginary line
Bends square in woods, an iron spine
And pile of real rocks have been founded.”
—Robert Frost (1874–1963)
“The aim of the laborer should be, not to get his living, to get “a good job,” but to perform well a certain work; and, even in a pecuniary sense, it would be economy for a town to pay its laborers so well that they would not feel that they were working for low ends, as for a livelihood merely, but for scientific, or even moral ends. Do not hire a man who does your work for money, but him who does it for love of it.”
—Henry David Thoreau (1817–1862)