Easy money policy is "monetary policy that increases the money supply".
An easy money policy refers to a financial policy that expands the cash supply as a rule by bringing down premium rates. It happens when a nation's national bank chooses to permit new money streams into the saving money framework. Since financing costs are lower, it is less demanding for banks and moneylenders to credit cash, in this way prompting expanded monetary growth.
Easy money happens when a national bank needs to make cash stream between banks all the more effectively, on account of lower loan fees. At the point when banks approach more cash, loan costs to clients go down on the grounds that banks have more cash they need to contribute.
