Which kind of monetary policy would you expect in response to high inflation: expansionary or contractionary? Why?   In a program of deposit insurance as it is operated in the United States, what is being insured and who pays the insurance premiums?   How do the expansionary and contractionary monetary policy affect the quantity of money?    How do tight and loose monetary policy affect interest rates?     How do expansionary, tight, contractionary, and loose monetary policy affect aggregate demand?