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When the federal reserve lowers interest rates hoping to jump-start the employment market what does it hope it will accomplish with that monetary policy action?
Wiki User
∙ 10y ago
That businesses will being increasing investments, which in turn, will cause a need for more employees.
Wiki User
∙ 10y ago
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Why does the Federal Reserve alter monetary policy?
The Federal Reserve alters monetary policy to influence the amount of money and credit in the U.S. economy. These changes affect interest rates and the performance of the economy. The end goals of monetary policy are sustainable economic growth, full employment and stable prices.
The interest rate policy is the component of?
monetary policy.........
English economist who advocatedfiscal and monetary measures to maintain the adverse affects of recesssion?
I believe you may be thinking of John Maynard Keynes, an English economist who argued in The General Theory of Employment, Interest, and Money
How does a secured loan differ from an unsecured loan?
A secured loan is a loan that some monetary interest (money or property of value) attached to the loan to insure its repayment. If the loan is not repaid, the monetary interest becomes the property of the loaning party. A unsecured loan does not have a monetary interest attachment.
How does a expansionary monetary policy affect the interest rate overall price level and GDP?
expansionary monetary policy increases money supply by lowering interest rates
What is the tight monetary policy?
Tight monetary policy is the money policy with high interest rates and low supply.
What are tight and loose monetary policy?
They are both types of monetary policy. Tight has high interest rates and low supply, while loose has low interest rates and high supply.
What does loosening monetary policy means?
Loose monetary policy is the money policy that has low interest rates and a high supply.
Who sets interest rates in the European monetary union?
"My mum sets the interest rates." Richard O'Regan.
What else did the government efforts to sell bonds accomplish?
Government bonds, known in the United States as "Treasury bonds," are monetary or security debts issued by a specific country with the intent to repay the buyer, with interest, over a predetermined period of time.
Law related to Philippine monetary system?
The main laws to do with the Philippine monetary system involve interest rates and taxation. The government can alter interest rates to increase or decrease money flows.
What is the difference between bonus and fringe benefits?
A bonus when used in employment is typically a monetary compensation. A fringe benefit is a bonus as well, but sometimes benefits are not monetary.
