To Reduce Inflation, the Federal Reserve Increases the Discount Rate

question 173

True/False

To reduce inflation, the Federal Reserve increases the discount rate.

---

Definitions:

Traditional Environment

A conventional work setting or business approach characterized by established practices and hierarchy.

Push Manufacturing

A production strategy where products are made based on forecasted demand, pushing them through the production process to stock.

Make to Stock

A production strategy where goods are produced based on anticipated demand and stocked for future sales, without specific customer orders.

Push Manufacturing

A production strategy where goods are produced in anticipation of customer demand, based on forecasts, leading to potential stockpiling or inventory costs.