Risk for depression among college students. I would say temporal but what are the options
I believe the answer is: They are implied within the Constitution.
Reserved power refers to the power that guaranteed the government with a certain political authority on a specific issue.
This power is not directly stated within the constitution, but often arise as a method to exert the power that directly stated in the constitution. Example of reserved powers are: coining money, declaring war, and making treaties with other nations.
Answer: Say the Federal Reserve decides to reduce interest rates to stimulate economic growth. They do this by purchasing government securities over the open market with newly created money. The bank will take this new money and lend it out (or purchase securities, it doesn't matter due to arbitrage). This has the effect of increasing the supply of loanable funds, pushing down the interest rate.
Now just because the interest rate is lowered does not mean that the expansionary monetary policy will have its desired effect immediately. Lower interest rates encourage borrowing, and increased borrowing can increase employment, GDP, etc. There is a lag between the reduction in interest rates and its effects on the real economy. People will not respond to the lower interest rates by borrowing and hiring immediately; the effect can take 1-2 years.
Explanation:
The requirements are in the Constitution.
