Actions the fed can take to increase the money supply

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1. Describe the two things that limit the precision of the Fed's control of the money supply and explain how each limits that control.

2. Why do Federal Reserve Board of Governors have long (14 year) terms?

3. Why is the Chairman of the Federal Reserve often referred to as the “second most powerful person in the United States?”

4. Name three actions the Fed can take to increase the money supply.

5. When the Fed purchases government bonds the money supply and the federal funds rate.

Reference no: EM13888402

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