Explain briefly the advantages and disadvantages

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Reference no: EM1336649

Two types of foreign exchange rate targeting

Briefly state the advantages and disadvantages of foreign exchange rate targeting.

Briefly state the advantages and disadvantages for each tool the Fed can use to manipulate the federal funds rate.

Briefly state the advantages and disadvantages for each target the Fed can use to anchor monetary policy, i.e. inflation target, money target, or implicit anchor.

Briefly describe the criteria for choosing a monetary policy instrument.

Reference no: EM1336649

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