Running head: MACROECONOMIC IMPACT ON BUSINESS OPERATIONS Macroeconomic Impact on Business Operations Rick Duke University of Phoenix Macroeconomic Impact on Business Operations This paper discusses the monetary policy and its effects on macroeconomic factors such as GDP, unemployment, inflation, and interest rates. The focus is on how money is created and the methods and objectives of the central banks monetary policy. The goal is to find a combination of the monetary policy where there is a balance between economic growth, low inflation, and a low unemployment rate. Monetary Policy The purpose of monetary policy is to assist the economy in achieving price stability, economic growth, and full employment. Such policy consists of deliberate changes in the money supply to influence interest rates and thus the total level of spending in the economy (McConnell & Brue, 2005, p. 268). GDP Gross domestic product (GDP) is the total market value of all final goods and services produced in a given year (McConnell & Brue, 2005, p. 1......

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