What action can the Federal Reserve take to reduce unemployment?  

Using one of the tools available to the Federal Reserve, explain how the Fed would accomplish the action you listed.

Assume the economy is currently operating at the natural rate of unemployment, what affects will the action you listed in response to have in the short run on output, price level, and interest rates?  Please use the AS/AD and Money Market diagrams to illustrate your answer.

Again, assume the economy is currently operating at the natural rate of unemployment, what affects will the action you listed in response to have in the long run on output, price level, and interest rates?  Please use the AS/AD and Money Market diagrams to illustrate your answer.