What unusual measures did the Fed take in trying to reduce long-term interest rates during the Financial Crisis of 2007-2009?
A) buying mortgage-backed securities issued by Fannie Mae and Freddie Mac
B) reducing the federal funds rate multiple times
C) issuing its own securities
D) eliminating the discount rate on loans to member banks
A
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A price-taking firm and a monopolist are alike in that ______.
a. price equals marginal revenue for both b. both maximize profits by choosing an output where marginal revenue equals marginal cost, provided that price exceeds average variable cost c. price exceeds marginal cost at the profit-maximizing level of output for both d. in the long run, both earn zero economic profits
How does chain weighting lead to a different measurement of real GDP than the methods used by the BEA prior to 1996? What are the advantages of chain weighting? What are the disadvantages?
What will be an ideal response?