Fed policy focused on long term interest rates

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Fed Policy Focused on Long-term Interest Rates:

Why might the Fed want to focus its efforts on reducing long-term interest rates rather than shortterm interest rates during a weak economy?

Explain how it might use a monetary policy focused on influencing long-term interest rates. Why might such a policy also affect short-term interest rates in the same direction?

Reference no: EM131226097

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Fed policy focused on long term interest rates : Why might the Fed want to focus its efforts on reducing long-term interest rates rather than shortterm interest rates during a weak economy?
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