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A. Federal Open Market Committee B. If the source of economic instability is due

ID: 1097391 • Letter: A

Question

A. Federal Open Market Committee B. If the source of economic instability is due to variations in private or public spending C. Federal Reserve Bank of New York D. If the source of economic instability is due to unstable demands for money Match each of the following to a choice 1. uses the trading desk and open market operations for one hour, once a week to implement directives. Select A. Federal Open Market Committee B. If the source of economic instability is due to variations in private or public spending C. Federal Reserve Bank of New York D. If the source of economic instability is due to unstable demands for money 2. money aggregate (money supply) targets should be set. Select A. Federal Open Market Committee B. If the source of economic instability is due to variations in private or public spending C. Federal Reserve Bank of New York D. If the source of economic instability is due to unstable demands for money 3. interest rates should be targeted. Select A. Federal Open Market Committee B. If the source of economic instability is due to variations in private or public spending C. Federal Reserve Bank of New York D. If the source of economic instability is due to unstable demands for money 4. issues a Directive that lays out general economic objectives, establishes short-term federal funds rate objectives, and specifies target ranges for money supply growth. A. Federal Open Market Committee B. If the source of economic instability is due to variations in private or public spending C. Federal Reserve Bank of New York D. If the source of economic instability is due to unstable demands for money

Explanation / Answer

Answers:-

A. Federal Open Market Committee = issues a Directive that lays out general economic objectives, establishes short-term federal funds rate objectives, and specifies target ranges for money supply growth.

B. If the source of economic instability is due to variations in private or public spending = interest rates should be targeted.

C. Federal Reserve Bank of New York = uses the trading desk and open market operations for one hour, once a week to implement directives.

D. If the source of economic instability is due to unstable demands for money = money aggregate (money supply) targets should be set.

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