Monetary Policy Paper
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Title: Monetary Policy Paper

Essay Details:

Subject: History
Author: Diane A
Date: October 6, 2015
Level: University
Grade: A
Length: 3 / 678

Essay text:

It works by affecting demand across the economy—that is, people's and firms' willingness to spend on goods and services”. The information that I located suggested that the main issues that monetary policy deals with are inflation and unemployment which usually affect each other. Monetary policy is the responsibility of the Federal Reserve System who put the main responsibility of monetary policy on their Federal Open Market Committee (FOMC). The FOMC meets 8 times a year and has 12 members who meet to discuss the state of the economy and what changes can be made to help the economy. The main tools used in monetary policy are the manipulation of short term interest rates which can greatly affect demand as well as manipulating the discount rate and reserve requirements...

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