Answer to Question #272123 in Microeconomics for Ndivho

Question

a. Mention any 5 concepts used interchangeably with:

i. Lending rate. (5)

ii. Strict monetary policy (5)

iii. Accommodative monetary policy (5)

b. Mention the types of inequality that were seen most during the period of hard lockdown in South Africa

Answer 1

a.

i.lending rate, interest rate, borrowing rate, interest on a loan, key rate

ii. A strict monetary policy, a restrictive monetary policy, a restrictive monetary policy, a "expensive money" policy, a policy of restricting the money supply, a policy of increasing reserve requirements

iii.Soft monetary policy, stimulating monetary policy, expansionary monetary policy, "cheap money" policy, policy of expanding the money supply, policy of lowering reserve requirements

b.Income differentiation or income inequality, Property inequality or wealth gap, Consumption inequality