A mission of the Federal Reserve is to promote a combination of low interest rates and low unemployment. Why can it be difficult to accomplish both of these at the same time?

Q: One of the missions of the Federal Reserve is to strive for low interest rates and low unemployment.…

A: Fiscal policy influences the Quantity of aggregate demand through changes in government spending and…

Q: What uncertainties does the federal reserve face in selecting the timing and tools of implementing…

A: The uncertainties that the Federal reserve face in selecting the timing and tool of implementing…

Q: Which statement best describes a responsibility of the Federal Reserve System for the United States?…

A: Federal Reserve system for the US.  Fed is the central bank of US.  The monetary policy is…

Q: give your recommendation on monetary policy as if you were President of the Dallas Federal Reserve…

A: Monetary policy refers to the actions taken by a country's central bank to regulate the money supply…

Q: Please explain three main objectives of monetary policy?

A: According to the given question Simply in simple words a monetary policy is known to be as that…

Q: Monetary policy isn't always effective: Why couldn't monetary policy pull us out of the Great…

A: The great depression was the situation when most of the economies in the world were experiencing a…

Q: Explain why low levels of economic confidence may hinder the effectiveness of monetary policy?

A: The credit-control system adopted by the central bank of a country to achieve its macroeconomic…

Q: Consider the scenario where you are the Chairperson of the Federal Reserve Bank. The US economy is…

A: inflation is the situation where general average price level increases over period of time .…

Q: employment and low inflation

A: The Phillips curve depicts the relationship between the inflation rate and unemployment rate. It…

Q: Some people argue that the most powerful person in the world is the Chair of the Federal Reserve.…

A: The argument that the Chair of the Federal Reserve is the most powerful person within the world…

Q: Suppose that the current inflation rate is at 9% and the unemployment rate is 3%. Given this data.…

A: Monetary policy is the policy that is used to control the money supply in an economy to maintain the…

Q: Suppose the Central bank were required to conduct monetary policy so as to hold the unemployment…

A: The monetary policy to keep the unemployment rate below the natural rate of 4% requires the central…

Q: One of the advantages of monetary policy is its speed and flexibility, but there are limitations.…

A: Monetary policy is the policy of the central bank of the economy to influence the money supply in…

Q: Designers of the Federal Reserve System were concerned that the Fed might form policy favorable to…

A: The Federal Reserve System is the US government's central banking authority. It serves as the US…

Q: stablishin

A: The Federal Reserve System is the United States of America's central system of banking.It was being…

Q: What are the two main mandates of the Federal Reserve Bank (Fed)? Why those two mandates are a…

A: Federal Reserve Bank give the nation a flexible and stable monetary and financial system  The…

Q: Which of the following are objectives that the Federal Reserve tries to achieve when setting…

A: Monetary Policy is a policy implemented by the central bank of a country (such as the Federal…

Q: What is the basic objective of monetary policy? What are the major strengths of monetary policy? Why…

A: The policy or tool which is known to regulate the supply of money in the economy by the central bank…

Q: Why did Friedman and the Monetarists believe that monetary misuse accompanied every severe recession…

A: Inflation means the rise in the price level of goods and services in an economy. It means as the…

Q: Which of the following individuals is NOT associated with the school of Modern Monetary Theory?…

A: Modern Monetary Theory or Modern Money Theory (MMT) is a heterodox macroeconomic theory that depicts…

Q: Which of the following is a tool of the Federal Reserve’s monetary policy?   Group of answer…

A: The policy through which the central bank of the nation takes action for influencing the amount of…

Q: Which of the following is considered to be a relatively drastic tool of monetary policy? altering…

A: Discount rate or interest rate would be drastic tool because it would affect the aggregate demand to…

Q: describe the actions the Federal Reserve took to maintain a healthy economy during the recent…

A: Fed has done so much to prevent the economy from slowing down during the economic crises as an…

Q: The Federal Reserve uses three main tools to conduct monetary policy, which are open market…

A: Monetary policy refers to the policy followed by the central bank of the country under which is…

Q: a)  The Federal Reserve Bank of the United States (i.e., the Fed) is responsible for financing the…

A: In an economy, the central bank is one that is responsible for managing the money supply and…

Q: Is the Federal Reserve an independent institution? If so, why did the U.S. Congress establish the…

A: The body that tends to monitor the occurrence of the financial system and work towards ensuring the…

Q: The main goal of the Federal Reserve is the unemployment rate.  True  False

A: False, because the main goal of Federal Reserve is to provide money supply which is consistent with…

Q: What do Federal Reserve economists use the Federal Reserve Board's model of the U.S. economy for? It…

A: The Federal Reserve Board's model of the U.S. economy, often referred to as the FRB/US model.The…

Q: Which one of these is not one of the three main policy tools the Federal Reserve uses to conduct…

A: Monetary policy is the policy made by  central bank of a country in which they control money supply…

Q: According to our review of the history of the Fed, during the Great Depression era, the Federal…

A: False. The statement you provided is not an accurate representation of the actions taken by the…