How does monetary policy affect the economy? We know that monetary policy has an important effect on the behaviour of the economy (e.g., income, employment, investment). Most theories of how exactly this happens rely on nominal rigidity in wages and (or) prices.
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A report released Thursday by bank consulting firm Moebs Services Inc. calculated the average balance for U.S. checking accounts at $4,436 at the end of last year â more than double the average of $2,100 over the 25 years of the annual survey.