Question
1. Why is the Federal Reserve currently pursuing the policies above? Specifically, what are they trying to do to the money supply? 2. If
1. Why is the Federal Reserve currently pursuing the policies above? Specifically, what are they trying to do to the money supply? 2. If the Federal Reserve is successful in their actions, what should happen to interest rates in the economy and why does this matter for unemployment, price stability, and economic growth? Tool Brief Description Expansionary Contractionary Current Policy Action Action (Explain and cite with link) Reserve Requirements Discount Window/Rate Decrease Increase Decrease Increase Buy Bonds Sell Bonds H Open Market Operations Interest On Reserves Decrease Increase
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