(Answered) Assume you are in the federal reserve who can control the

Management Studies

Assume you are in the Federal Reserve who can control the monetary policy.

Briefly describe the FOMC.
Define the mechanism of Federal Open Market Operation
Describe and define the equilibrium of money market. Illustrate the money supply curve and money demand curve. Denote vertical and horizontal axis as well as each graph.
The Federal Open Market Committee has decided that the federal funds rate should be 2% rather than the current rate of 1.5%. What is the appropriate open market action regarding Treasury bills? Show and explain on the graph.

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