The Fed engineered a recession to reduce out-of-control inflation under:
A) Arthur Burns.
B) Paul Volcker.
C) Alan Greenspan.
D) Ben Bernanke.

Question

Quizplus · Accepted Answer

The Fed engineered a recession to reduce out-of-control inflation under Paul Volcker. Volcker's monetary policy in the late 1970s and early 1980s focused on targeting tight control of the money supply and raising interest rates to combat inflation, which resulted in a sharp recession but ultimately helped to stabilize the economy and tame inflation.

The Fed Engineered a Recession to Reduce Out-Of-Control Inflation Under