List and briefly explain the primary goals of the Fed

What will be an ideal response?

1. Price stability. The Fed's goal of price stability means that it attempts to achieve low and steady inflation. Although the Fed has never formally announced a target for the inflation rate, many economists believe that the Fed considers an inflation rate of roughly 2% to be consistent with price stability.
2. High employment. The Fed attempts to keep cyclical unemployment as close to zero as possible to be compatible with its goal of price stability.
3. Financial market stability. Financial market stability makes possible the efficient matching of savers and borrowers and promotes the efficient use of resources.
4. Interest rate stability. Stabilizing interest rates makes it easier for firms to plan investments in plant and equipment and for households to have confidence in long-term investments in houses, and it can help to stabilize the financial system.