Monetary Policy Paper.
The goals of the U. S. Federal Reserve monetary policy include the promotion of sustainable economic growth, full employment, and stable prices.
The Federal Reserve's three main parts of monetary policy are open market operations, the discount rate and reserve requirements. Open market operations involve the buying and selling of U. S. government securities. The discount rate is the interest rate charged by Federal Reserve Banks to depository institutions on short-term loans. Reserve requirements are the portions of deposits that banks must maintain either in their vaults or on deposit a…
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