Question
In: Economics
Price stability plus full employment are US Congress mandates to: Group of answer choices a. All...
Price stability plus full employment are US Congress mandates to:
Group of answer choices
a. All of the above
b. The Fed or the US Central Bank
c. The White House
d. The US Treasury
Solutions
Expert Solution
Option B.
- The dual mandates of Fed are maintaining price stability and achieving full employment.
- By maintaining price stability it means to keep the inflation rates low within the economy.
- While, full employment rate can be achieved if the output is produced at full potential.
- These two mandates can be easily achieved by regulating the money supply and interest rates within the economy.
Rahul Sunny answered 2 years agoRelated Solutions
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