Open market operations play an important role in implementing monetary policy as well as trying to achieve the Fed’s financial objectives such as maximum employment, stable prices, and moderate ...

Bloomberg / Contributor / Getty Images The Federal Reserve uses tools it calls Open Market Operations, Interest on Reserve Balances, its Discount Window rate, and the rate at its Overnight Reverse ...

The Fed uses three primary tools: reserve requirements, the discount rate, and open market operations. Each of these impacts the money supply in different ways and can be used to contract or ...

Tools of the Federal Reserve As stated previously, open market operations entails the FOMC buying and/or selling assets in order to influence interest rates in an effort to achieve the central ...