Describe the effects on bank reserves

Reference no: EM132863565

Question 1: What is the basic goal of monetary policy?

Question 2: Explain the four tools of monetary policy. Which one is the most important?

Question 3: What are the characteristics of easy money policy and tight money policy?

Question 4: What policies will the Fed use to counter inflation, or unemployment and recession? Describe the effects on bank reserves, the money supply, interest rates, investment spending, aggregate demand, and real GDP from each policy.

Reference no: EM132863565

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