The federal reserve has multiple economic goals for monetary policy to achieve, however, it can be difficult to manage all of the goals at once.
which of the following is not true regarding the multiple goals of the fed?
a. as the fed tries to ensure economic growth, it can also focus on financial market stability because efficient financial markets make it easier for investment to occur and create additional economic growth.
b. achieving the goals of price stability and economic growth can be difficult because often the forces that lead to economic growth also can make prices increase at a rate higher than the fed would desire.
c. the goal of financial market stability means that the fed tries to ensure that asset prices, such as stock prices, increase at a very high rate so investors can make more money.
d. having dual goals of high employment and economic growth does not create many issues because most of the time when the economy experiences economic growth, the economy also achieves higher rates of employment.