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VORADictionaryC1Quantitative easing
CEFR C1 — Advanced

Quantitative easing

Definition

(formal) A monetary policy in which a central bank creates new money electronically and uses it to buy assets, such as government bonds, from banks, with the aim of stimulating economic activity and reducing interest rates.

Example Sentences

1The central bank's decision to implement quantitative easing was seen as a last resort to revive the stagnant economy.
2How does quantitative easing affect the value of a country's currency in the global market?
3Critics argue that quantitative easing benefits wealthy investors at the expense of ordinary citizens, exacerbating income inequality.
4To mitigate the risks of inflation, the central bank must carefully manage the timing and scale of quantitative easing.
5The use of quantitative easing has become more widespread among central banks since the 2008 global financial crisis.

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