One of the actions that can be taken by the Fed is to raise or lower the inflation rate.

Name: One of the actions that can be taken by the Fed is to raise or lower the inflation rate.
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Question

Quizplus · Accepted Answer

The Federal Reserve influences inflation indirectly by adjusting the federal funds rate, which affects borrowing costs and economic activity, but it does not directly set the inflation rate.

One of the Actions That Can Be Taken by the Fed