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Question

The purpose of central banks Is.

to ensure the stability of the financial system

to control the availability of money and credit to ensure low Inflation, high growth, and the stability of the financial system

only to ensure that the economy sees high growth

only to control the avallability of money and to ensure low inflation

Answer

The purpose of central banks is to ensure the stability of the financial system by controlling the availability of money and credit to ensure low inflation, high growth, and the stability of the financial system.

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Central banks are responsible for managing the money supply and interest rates in an economy. They are tasked with ensuring the stability of the financial system by controlling...