Answered>Order 510

36.Your professor showed you an online video of the chair of the Federal Reserve Bank speaking to the American public. The message she is conveying indicates that Fed economists are worried about the unemployment rate and believe the best course of action would be to speed up the economy. Which of the following policies is the Fed most likely to pursue?

Restrict the money supply and increase interest rates.

Increase the money supply and decrease interest rates.

Decrease taxes and/or increase government spending.

Devalue the dollar on international currency exchanges.