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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

Bankers and brokers applauded him for sticking with his tight-money policy until the recession had tamed inflation, slashing the annual rate of price increases from 13% at the beginning of his term to less than 4% now.

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

These consisted of supply-side tax cuts, reductions in federal spending, moves toward deregulation, and a monetarist tight-money policy to curb inflation.

From Time Magazine Archive

But then came rumors last week that the Federal Reserve Board had voted to ease up on its tight-money policy.

From Time Magazine Archive