Distinguish between monetary policy instruments and goals
What will be an ideal response?
Monetary policy instruments are the variables the Fed can use to conduct monetary policy and reach its goals. These include the monetary base or the federal funds rate. Monetary policy goals are the ultimate objectives for the Fed. These include price stability and full employment.
You might also like to view...
According to the law of supply,
a. more of a good is desired by consumers as the price falls. b. less of a good is desired by consumers as the price rises. c. more of a good will be offered by suppliers as the price rises. d. less of a good will be offered by suppliers as the price rises.
Refer to the above diagram. If this is a competitive market, price and quantity will move toward:
A. $20 and 150, respectively. B. $60 and 200, respectively. C. $60 and 100, respectively. D. $40 and 150, respectively.