Question

What is a main goal of the federal reserve in its monetary policy? A.Lower taxes B.To curb recessions C.Increase gov. Spending D. Regulate stock market

Answer 1

The main goal of the federal reserve in its monetary policy is to curb recessions.

Option B

Step-by-step explanation:

The federal bank plays a major role is making the monetary policy that takes care of money circulation in the economy. The major role played by such a policy is in strengthening the economic growth of the country. When the economic growth drops back to a negative extent, we term it as recession. To handle such recessions and to boost economy, federal reserve comes into play with its monetary policy else such circumstances can lead to a major economic failure.

Answer 2

The main goal of the federal reserve in its monetary policy is (B) to curb recession. The monetary policy design to promote maximum employment and focus on long-term economic growth which helps to control recession.