fiscal policy

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Title: fiscal policy

Essay Details:

Subject: Miscellaneous

Author: Stella V

Date: December 11, 2013

Level: University

Grade:

Length: 3 / 715

Essay text:

The 7 members of the board are appointed by the President and confirmed by the Senate. Members are elected to terms of 14 years, with the ability to serve for no more than one term. The Federal Reserve implements monetary policy largely by attempting to steer the federal funds rate, also called the overnight rate. This is the rate that banks charge each other for overnight loans of federal funds. The Federal Reserve Board affects the federal funds rate by using open market operations, which is the purchase and sale of Treasury securities. If it wants to inject money into the economy, then it buys bonds, which also lowers interest rates...

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