At the Conclusion of Its Meeting on December 16, 2009

question 48

Essay

At the conclusion of its meeting on December 16, 2009, the Federal Open Market Committee released a statement that included the following sentence: "The committee will maintain the target range for the federal funds rate at 0 to ¼ percent and continues to anticipate that economic conditions, including low rates of resource utilization, subdued inflation trends, and stable inflation expectations, are likely to warrant exceptionally low levels of the federal funds rate for an extended period." What is the significance of this statement?

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Definitions:

Irreversible Chemical Change

A chemical reaction that results in products that cannot easily revert back to the reactants without significant energy input.

Atmospheric Corrosion Resistance

The ability of a material to withstand degradation caused by reactions with atmospheric conditions without additional protection.

Alloy Series

Groups of metal alloys classified together based on their principal element.

Carbon Content

Carbon Content refers to the percentage of carbon in an alloy or metallic substance, directly influencing its hardness, strength, and malleability.