The Fed's goal of interest rate stability
A) was formally abandoned in 1998.
B) is motivated by political pressure as well as by a desire for a stable saving and investment environment.
C) is undermined by actions the Fed takes to further its goal of stability in financial markets and institutions.
D) is undermined by actions the Fed takes to further its goal of price stability.
B
You might also like to view...
The table above gives the demand schedule for water bottled by Wanda's Healthy Waters. If the marginal cost is a constant $4 a bottle, Wanda's will produce ________ a day and charge ________ a bottle
A) 8 bottles; $8 B) 4 bottles; $12 C) 1 bottle; $15 D) 6 bottles; $10
Suppose a person cashes his payroll check and holds all the funds in the form of currency. Everything else held constant, total reserves in the banking system ________ and the monetary base ________
A) remain unchanged; increases B) decrease; increases C) decrease; remains unchanged D) decrease; decreases
If the money supply is $600 and nominal income is $3,600, the velocity of money is
A) 1/60. B) 1/6. C) 6. D) 60.
Both the principles of rivalry and mutual excludability apply for club goods
a. True b. False Indicate whether the statement is true or false