Answer:
The correct answer is option A.
Explanation:
Monetary policy is the method adopted by the central bank on behalf of the government to control money supply in order to affect economic output and price level. Â
There are two main classifications of monetary policy.
Some of the tools of monetary policy are required reserve ratio, discount rate, Â open market operations, etc.
The basic objective of monetary policy is to help the economy in achieving a stable rise in output, keeping inflation in a predictable range and keeping unemployment at a minimum.