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tight-money policy

Cultural  
  1. A policy in which a central monetary authority, for example, the Federal Reserve System, seeks to restrict credit and raise interest rates. (Compare easy-money policy.)


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A tight-money policy might be pursued to limit inflation.

Example Sentences

Examples are provided to illustrate real-world usage of words in context. Any opinions expressed do not reflect the views of Dictionary.com.

The tight-money policy threatens to tip the economy, which is already stagnant, into recession.

From New York Times • Jul. 19, 2023

Economist Walter Heller, CEA chairman under President Kennedy, asserts that if the present tight-money policy is continued, the jobless rate will scoot up toward 7% by mid-1975.

From Time Magazine Archive

For months, the board has been following a tight-money policy of unusual severity.

From Time Magazine Archive

To avert collapse, the builders and lenders almost unanimously called on the Federal Reserve Board to relax its tight-money policy, and many advocated a balanced federal budget to give the board more room to maneuver.

From Time Magazine Archive

The Federal Reserve Board will consequently continue its tight-money policy.

From Time Magazine Archive