If the Fed Is Targeting Interest Rates, During an Economic

question 71

Multiple Choice

If the Fed is targeting interest rates, during an economic downturn it will

• A)use open market purchases to lower interest rates.
• B)use open market sales to raise interest rates.
• C)avoid open market operations so as not to interfere with the adjustment of interest rates.
• D)impose limitations on the interest rates that banks may charge on credit cards.

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Definitions:

Business Priority

The ranking or importance of tasks, goals, or objectives within a business to guide decision-making and resource allocation.

Bar Code Scanning

The use of optical scanners to read printed bar codes on items and translate them into digital information.

RFID Technologies

Stands for Radio-Frequency Identification, a technology that uses electromagnetic fields to automatically identify and track tags attached to objects.

Political Decision Making

The process of decision-making that is influenced by political factors or considerations, often found within government, but also in organizations.