Question: 1. Why do you think that many people pay so much attention to likely future movements in the federal funds rate? 2. If the FOMC

1. Why do you think that many people pay so much attention to likely future movements in the federal funds rate?
2. If the FOMC were to aim to attain targets for M1 or M2 instead of the federal funds rate, would people be as concerned with trying to anticipate future federal funds rate changes? Explain.

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