09 Jul answer questions short answer
Question Description
Hello! I have attached Week 6 and Week 7 power points please cite each answer with the slide #
Questions for Week 6
Describe the purpose of maintaining the independence of the Federal reserve system.
Describe the organizational structure of the federal reserve system.
Who comprises the federal Open Market Committee and what role does this group serve in the economy?
What are the three primary tools the Federal reserve has to work with in conducting Monetary policy and how does use of these tools cause expansion and contraction in the size of the money supply?
How does buying government securities by the FOMC cause expansionary effects on the state of the economy?
Week 7
How does increases in the money supply cause reductions in interest rates?
What is the effect on spending in the economy caused by changing the interest rate?
How is the standard of living effected by trade with other nations?
How are international trade and comparative advantage linked?
What is a tariff?
How are consumers in a nation impacted when their government initiates a tariff on a good those consumers would like to purchase?
Does our government need to restrict the right to trade for us in order for us to be protected from inexpensive foreign labor?
What is protectionism?
What is the exchange rate?
What happens to exports and imports if there is an excess demand for the dollars of one nation by the other nation under a flexible exchange rate system?
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