IN THE FALL OF 1998, THE FED (A) RAISED THE FEDERAL FUNDS INTERES...

118) - TEST BANK CHAPTER 18 CONDUCT OF MONETARY POLICY GOALS AND TARGETS TÀI CHÍNH TIỀN TỆ
TEST BANK CHAPTER 18 CONDUCT OF MONETARY POLICY GOALS AND TARGETS TÀI CHÍNH TIỀN TỆ
118) In the fall of 1998, the Fed (a) raised the federal funds interest rate to deal with a strengthening economy, discounting concerns about the financial crises in other countries. (b) took the dramatic step lowering the federal funds interest rate by 3/4s of a percentage point following the collapse of Long-Term Capital Management in the fall of 1998. (c) took the dramatic step lowering the federal funds interest rate by 3/4s of a percentage point because of the financial crises in East Asia and Russia. (d) both (b) and (c) of the above. (e) did none of the above. Answer: D Question Status: Revised