US Monetary Policy

U.S. monetary policy affects all kinds of economic and financial decisions people make in this country-whether to get a loan to buy a new house or car or to start up a company, whether to expand a business by investing in a new plant or equipment, and whether to put savings in a bank, in bonds, or in the stock market, for example. Furthermore, because the U.S. is the largest economy in the world, its monetary policy also has significant economic and financial effects on other countries.

The object of monetary policy is to influence the performance of the economy as reflected in such factors as inflation, economic output, and employment. It works by affecting demand across the economy-that is, people's and firms' willingness to spend on goods and services.

While most people are familiar with the fiscal policy tools that affect demand-such as taxes and government spending-many are less familiar with monetary policy and its tools. Monetary policy is conducted by the Federal Reserve System, the nation's central bank, and it influences demand mainly by raising and lowering short-term interest rates.


Preferred Loan Type
Property Type
Property Value
Credit Rating

 

Rate Assumptions | Second Mortgage Rates | Apply Now | Disclosures and Terms | Home Loan | About Us | Contact Us | Testimonials | Privacy | Site Map
BD Nationwide Mortgage, 515 Encinitas Blvd. Ste 100, Encinitas, California 92024
Please be aware that this is not an advertisement for credit as defined by paragraph 226.24 of regulation Z. Nothing on this site contains an offer to make a specific home loan for any purpose with any specific terms. This is a web-site and no loans can be guaranteed as loans and rates are subject to change. Nationwide is affiliated with national lenders and a federally chartered bank located in Maryland licensed to offer home loans in all 50 states. Copyright 2001-2010 and Beyond, Nationwide Mortgage Loans - BDnationwidemortgage.com is a website and cannot make loans. All rights reserved.