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Which of the following is not an instrument of monetary policy? a. Reserve requirements b. Margin...

Which of the following is not an instrument of monetary policy?

a. Reserve requirements

b. Margin requirements on stocks

c. Discount policy

d. Open market operations

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Answer #1

The correct answer is c.Discount Policy

Monetary policy are the short term measures through which the government or the central bank regulates the money supply in the economy.

Reserve Requirement, Margin Requirement and Open Market Operations are all tools of monetary policy except discount policy which depends upon person to person and is not a tool of central bank

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