Monetary Policy Practice
Move the money supply in the money market and watch the interest rate settle where money demand meets it. Then answer five exam-style questions on open market operations, the interest-rate channel, and the liquidity trap.
One tile of the full monetary policy unit.
The course teaches monetary policy interactively — drag the graphs, practice with feedback, and spaced reviews bring it back before you forget. Free.
Interactive graph
Five practice questions
Pick an answer, then click Check answer to see the explanation.
Question 1 of 5
In the money market, the demand for money slopes downward against the interest rate. Why?
Question 2 of 5
The central bank wants to fight high inflation. Which action fits?
Question 3 of 5
The central bank conducts an open market purchase, buying government bonds from banks. What happens?
Question 4 of 5
Through what channel do lower interest rates reach the real economy?
Question 5 of 5
What is a liquidity trap?
What the course adds
Beyond this one page
The monetary-policy unit covers the money market, the central bank's tools, the transmission mechanism from rates to spending, and the limits of policy at the zero lower bound — with practice that targets the steps you keep missing.
Spaced reviews
FSRS brings every concept back right before you'd forget. ~50% better retention than re-reading.
Per-concept mastery
Performance Factor Analysis tracks each sub-skill separately — you see which version of the idea is still wobbly.
Diagnostic placement
A short test skips you past what you already know. No re-learning the basics.
For instructors
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Sends students to the full page with the worked example and related lessons.
Inlines just the interactive widget in your LMS — no nav, no footer, no signup wall.
Want the full macroeconomics course behind this?
The Econ Academy macro course covers monetary and fiscal policy, the money market, and growth — with interactive graphs, adaptive practice, and spaced repetition so you stop forgetting what you just learned.