The Operational Goals the Fed Uses for Its Monetary Policy

question 39

Multiple Choice

The operational goals the Fed uses for its monetary policy objectives are

• A)the core inflation rate and the output gap.
• B)the supply of reserves and the output gap.
• C)the federal funds rate and the core inflation rate.
• D)the federal funds rate and the supply of reserves.
• E)the demand for reserves and the supply of reserves.

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Definitions:

Reproduces

The biological process by which new individual organisms are created from their parents.

Red Blood Cells

are cells in the bloodstream that transport oxygen from the lungs to body tissues and carbon dioxide back to the lungs.

Liver

A vital organ present in vertebrates and some other animals, performing a wide range of functions including detoxification, protein synthesis, and the production of biochemicals necessary for digestion.

Excavates

A diverse group of single-celled organisms, including both free-living species and parasites, characterized by their unique cell structure and mode of mobility.