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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

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

From New York Times Jul. 19, 2023

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

From Time Magazine Archive

One was a reaction to Chairman Arthur Burns' tight-money policy in 1974; Reuss called for increasing the money supply at an annual rate of 6% with the aim of bringing down interest rates.

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

Two weeks ago, the Open Market Committee, the Federal Reserve's policy-making group, voted, in effect, to confirm that it was temporarily loosening up on tight-money policy so that the economy could begin growing more rapidly.

From Time Magazine Archive

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