ECONOMICS
FEDERAL RESERVE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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create the Open Market Committee
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elect the President who can best run the country
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raising GDP
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low unemployment
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price stability
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Detailed explanation-1: -The FOMC judges that low and stable inflation at the rate of 2 percent per year, as measured by the annual change in the price index for personal consumption expenditures, is most consistent with achievement of both parts of the dual mandate.
Detailed explanation-2: -The Federal Reserve monitors financial system risks and engages at home and abroad to help ensure the system supports a healthy economy for U.S. households, communities, and businesses.
Detailed explanation-3: -The two primary goals (sometimes referred to as the dual mandate) of the Federal Reserve Bank are. maximum employment and stable prices. low interest rates and low inflation.
Detailed explanation-4: -Price stability is the condition in which the domestic currency retains its purchasing power by maintaining low and stable inflation as measured by the Consumer Price Index over the medium term (from 3 to 5 years). Price stability does not imply that prices do not change; it means that prices grow at a moderate pace.