Monetary policy can be a powerful tool of foreign policy. How centralized financial institutions-central banks- influence money supply, inflation and interest rates, affects both domestic and foreign economies. To learn more about the importance of the dollar, how the value of currency is determined and the role central banks play in our globalized world, visit our Monetary Policy and Currencies module: https://world101.cfr.org/global-era-issues/monetary-policy-and-currencies/what-monetary-policy
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Download transcript: https://world101.cfr.org/sites/default/files/video-transcripts/2019/05/Transcript%20An%20Overview%20of%20Monetary.pdf
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