1. How were the upper and lower limits of the federal funds rate target adjusted from 2016 to 2021? Ans) 2. Recall that the shaded areas in the FRED graph indicate U.S. recessions. What is the purpose of cutting interest rates during recessions? Ans) 3. Notice how the federal funds rate target range changed from 2022. What is the purpose of raising interest in 2022? Ans)

Answer rating: 100% (QA)

Adjustments to the Federal Funds Rate Target 20162021 In December 2016 the Federal Reserve initiated a series of interest rate hikes after keeping rat... View the full answer