You are the new Governor of State Bank of Pakistan after Reza Baqir. For each of the situations listed below, decide if you would use Easy-Monetary policy or Tight-Monetary policy. Explain each scenario within 150 words. Scenarios: (A)RGDP is growing steadily, and prices are rising sharply. (B). The Pakistan is experiencing both high inflation and high unemployment. (C). We are in a recession. Factory orders are down, and the economy appears to be slumping. (D). Unemployment is low and prices are rising steadily. (E). Unemployment rates are pushing 11 percent while the CPI has fallen from 8 percent to 2 percent growth. (F). We are in a recession but are experiencing high inflation. (G). The money supply appears to be tight, and prices are on the rise.
You are the new Governor of State Bank of Pakistan after Reza Baqir. For each of the situations listed below, decide if you would use Easy-
Scenarios:
(A)RGDP is growing steadily, and prices are rising sharply.
(B). The Pakistan is experiencing both high inflation and high
(C). We are in a recession. Factory orders are down, and the economy appears to be slumping. (D). Unemployment is low and prices are rising steadily.
(E). Unemployment rates are pushing 11 percent while the
(F). We are in a recession but are experiencing high inflation.
(G). The money supply appears to be tight, and prices are on the rise.
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