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aleksandr82 [10.1K]
2 years ago
7

If you have done everything correctly, you might realize that stagflation creates a dilemma for the Fed. Why? Choose one or more

: A. If the Fed wants to reduce unemployment, it must be willing to accept more inflation. B. If the Fed wants to reduce inflation, it must be willing to accept higher unemployment. C. If the Fed wants to reduce unemployment, it must be willing to accept less inflation. D. If the Fed wants to reduce inflation, it must be willing to accept lower unemployment.
Business
2 answers:
Nesterboy [21]2 years ago
8 0

Answer:

The Federal Reserve seeks to control inflation by influencing interest rates. When inflation is too high, the Federal Reserve typically raises interest rates to slow the economy and bring inflation down.

Explanation:

USPshnik [31]2 years ago
4 0

Answer:

A. If the Fed wants to reduce unemployment, it must be willing to accept more inflation.

B. If the Fed wants to reduce inflation, it must be willing to accept higher unemployment.

Explanation:

Stagflation is a situation in which there is a shift of the supply curve to the left that results in a high inflation due to which there is a high unemployement. Now if the fed wants to reduce the inflation so the demand would decline due to which the unemployment rises

Therefore A and B are correct

And C and D are incorrect

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3 years ago
Fred Flintlock wants to earn a total of 10% on his investments. He recently purchased shares of ABC stock at a price of $20 a sh
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Answer:

Option (C) is correct.

Explanation:

Return on the stock = (Dividend ÷ Investment) + (capital gain ÷ investment )

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10 = 5 + 5 × ( final price - 20)

Final price = 21

Therefore, the stock price should increase by [(21 - 20) ÷ 20] × 100

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3 years ago
Hello, im stuck. if i could get some ideas for this i will mark you brainliest if i can.
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The primary policy tool used by the fed to meet its monetary policy goals is.
Makovka662 [10]

The primary tool used by the Fed to achieve monetary policy goals is <u>Open Market Operations.</u>

<h3>What are Open Market Operations (OMO)?</h3>
  • This refers to the trading of securities by the fed.
  • Securities traded include bills, notes, and bonds.

When the fed wants to increase the money supply, they will buy these securities from the public. If it is a decrease they they seek, they will sell securities to the public.

In conclusion, this is Open Market Operations.

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