Monetary Tightening
/ˈmɒnɪtɛri ˈtaɪtnɪŋ/
Definitions
- (n.) A policy action by monetary authorities to reduce money supply or increase interest rates to curb inflation and stabilize the economy.
The central bank implemented monetary tightening to address rising inflation.
Forms
- monetary tightening
Related terms
See also
Commentary
Monetary tightening is primarily a macroeconomic term but can have legal implications in financial regulation and contract law due to its effect on credit and lending conditions.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.