Understanding the Federal Reserve's Interest Rate Decisions

What is the immediate impact of the Federal Reserve's decision to hold interest rates steady?

• Interest rates on credit cards and loans will be eliminated.

• Interest rates on credit cards and loans will increase.

• Interest rates on credit cards and loans will remain the same.

• Interest rates on credit cards and loans will decrease.

What change did the Federal Open Market Committee make in their recent statement?

• They decided to cut interest rates.

• They removed language indicating a willingness to raise rates further.

• They announced a new target for inflation.

• They decided to increase bond holdings.

What is the Federal Reserve's goal with their current economic strategy?

• To eliminate all forms of debt.

• To decrease economic growth significantly.

• To achieve a 'soft landing' by reducing inflation without harming economic growth.

• To increase inflation rapidly.

What does the Federal Reserve mean by a 'soft landing'?

• Slowing down economic growth intentionally.

• Eliminating inflation completely.

• Reducing inflation without crashing the economy.

• Increasing interest rates rapidly.

What recent trend in the job market might indicate easing inflation?

• Rapidly rising wages.

• A cooling job market with slower wage increases.

• A sudden surge in job creation.

• A significant increase in unemployment.