Principles of Macroeconomics (Maymester 2009)
Activity 8
Name _____________________ Due Day: May 30, Saturday
1. Visit the Federal Reserve Systems link
http://www.federalreserve.gov/monetarypolicy/default.htm
2. On the left panel, click on Policy Tolls
3. Click on the first 3 links to find out the answers for the following questions.
(This link may be helpful too) http://www.newyorkfed.org/markets/statistics/dlyrates/fedrate.html
1. (5 points) What is the Intended Federal Funds Rate since December 16, 2008?
________________
2. (5 points) What is the current discount rate (primary rate)? ____________
3. (3 points) Fill in the blanks with the reserve ratios for different quantity of demand deposits.
|
Type of liability |
Requirement |
|
|
Percentage of liabilities |
Effective date |
|
|
Net transaction accounts 1 |
||
|
$0 to $10.3 million2 |
|
1-01-09 |
|
More than $10.3 million to $44.4 million3 |
|
1-01-09 |
|
More than $44.4 million |
|
1-01-09 |
4. (7 points) Comment on the current monetary policies whether they are appropriate for the current U.S. economy or not.