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28 Sep 2019
In this section of the course, the formulation and implementation of monetary policy are discussed. One of the main issues of monetary policy is that of the appropriate target and indicator of monetary policy. There are two main targets of monetary policy I want you to concern yourself with the interest rate target and the inflation target. The Federal Reserve has been targeting interest rates, most notably the federal funds rate, to guide monetary policy. However, many believe the Fed should target inflation. What target do you think the Fed should aim at interest rates or inflation rates? Please explain why.
In this section of the course, the formulation and implementation of monetary policy are discussed. One of the main issues of monetary policy is that of the appropriate target and indicator of monetary policy. There are two main targets of monetary policy I want you to concern yourself with the interest rate target and the inflation target. The Federal Reserve has been targeting interest rates, most notably the federal funds rate, to guide monetary policy. However, many believe the Fed should target inflation. What target do you think the Fed should aim at interest rates or inflation rates? Please explain why.
Chika IlonahLv10
28 Sep 2019