Question 1: Briefly state the advantages and disadvantages of foreign exchange rate targeting.
Question 2: Briefly state the advantages and disadvantages for each tool the Fed can use to manipulate the federal funds rate.
Question 3: Briefly state the advantages and disadvantages for each target the Fed can use to anchor monetary policy, i.e. inflation target, money target, or implicit anchor.
Question 4: Briefly describe the criteria for choosing a monetary policy instrument.