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Liula [17]
3 years ago
12

What type of policy would the Federal Reserve use if the economy were entering a recession?

Social Studies
1 answer:
mote1985 [20]3 years ago
6 0
The loose monetary policy is the policy that the federal reserve use if the economy were entering into recession. In order for the federal reserve to fight the recession, they should support legislation which has higher taxes for wealth. They should also put into place very strong regulatory rules that banks and cooperation can't get across. 
The three federal reserve tools which are used to undertake an easy monetary policy includes reserve requirement, discount rate, and open market operations. Federal reserve altered monetary policy in order to influence the amount of credit and money in U.S economy and the interest rates.
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Answer: (11.95, 14.11)

Explanation:

Let x be a random variable that represent the number of years of education.

Given: Sample size : n= 26

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Critical t-value for \alpha=0.1 and df = 25 will be

t_{\alpha/2, df}=t_{0.05,25}=1.7081

90% confidence interval for mean:

\overline{x}\pm t_{\alpha/2,df}\dfrac{s}{\sqrt{n}}\\\\=13.03\pm (1.7081)\dfrac{3.22}{\sqrt{26}}\\\\=13.03\pm  (1.7081)\dfrac{3.22}{5.09902}\\\\=13.03\pm 1.08\\\\=(13.03-1.08,\ 13.03+1.08)\\\\ =(11.95,\ 14.11)

A 90% confidence interval for the mean number of years of education = (11.95, 14.11)

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