What trade offs does the fed face

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Reference no: EM131303019

1. What trade-offs does the Fed face, particularly in the short run, in attempting to reach its goals?

2. What two timing difficulties does the Fed face in using its monetary policy tools?

3. Why might the Fed pursue targets-whether an intermediate target or a policy instrument (or operating target)-instead of pursuing its policy goals directly?

Reference no: EM131303019

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