What does monetary policy mean?

Looking for the meaning or definition of the word monetary policy? Here's what it means.

Noun (economics) The process by which the government, central bank, or monetary authority manages the supply of money, or trading in foreign exchange markets. Find more words! 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Many economics textbooks fail to mention QE, suggesting that this is a new and extreme form of monetary policy. Of course many of us have to relearn these lessons in a new cycle because changes in monetary policy seldom suit our book at the time. The Fed said recently that monetary policy can be accommodative for some time. A lot of the excess liquidity you speak of can be traced to the aggressiveness of their monetary policy. We have to be cognizant of those lags and move monetary policy anticipating that it has a lagged effect on the economy. See Also What is another word for monetary policy? Sentences with the word monetary policy What is the plural of monetary policy? Nearby Definitions monetary policies monetary instruments monetary instrument monetary impotence monetary monetarizing monetary unit monetary units Monetesque moneth moneths monetisable