Which of the Following Correctly Describes What the Fed Used

question 39

Multiple Choice

Which of the following correctly describes what the Fed used as monetary targets in the past?

• A)The Fed used M1 and M2 as targets after 1993.
• B)The Fed focused on M1 as a target after deregulation of the financial markets.
• C)The Fed increased its reliance on interest rate targets since the mid-1990s.
• D)After 1980 and before the 1990s,the Fed focused on interest rate targets.

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Definitions:

Serotonin-Producing Neurons

Nerve cells that manufacture and release serotonin — a neurotransmitter important for mood regulation and other functions.

Parkinson's Disease

A degenerative disorder of the central nervous system that affects movement, often including tremors and stiffness.

Loss of Inhibition

A decrease in self-control or restraint, often leading to impulsive or risky behaviors, which can be caused by various factors, including alcohol consumption.

Chronic Gambling

A long-standing behavioral pattern marked by the compulsive need to gamble, often leading to significant personal, social, or financial problems.