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easy-money policy

Cultural  
  1. A policy by which a central monetary authority, such as the Federal Reserve System, seeks to make money plentiful and available at low interest rates. (Compare tight-money policy.)


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An easy-money policy is often pursued to encourage investment and economic growth. It can lead to inflation, however.

Example Sentences

Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.

Global stock markets have seen relentless selling pressure in the first half of the year against the backdrop of a surge in inflation, the Ukraine conflict and the Fed's pivot away from easy-money policy.

From Reuters • Jul. 7, 2022

Price gains have picked up rapidly, spurring a collective freak-out, causing some Fed officials to fret about their easy-money policy setting.

From New York Times • Aug. 27, 2021

Still, rising rates signal an end to the easy-money policy that pushed 30-year mortgage rates to a record low of 3.31% in 2012.

From Los Angeles Times • Jun. 14, 2015

Federal Reserve Chairman Alan Greenspan pursued an easy-money policy that encouraged banks to lend as much as possible.

From Time • Feb. 5, 2013

With no major surprises, the Fed's reaffirmation of its easy-money policy gave investors "a quick breath of fresh air," Mr. Draughn said.

From The Wall Street Journal • Jan. 27, 2010