Tag Archives: Federal Reserve

Bonds – How Inflation And Interest Rates Affect Bonds – Investopedia

Bonds – How Inflation And Interest Rates Affect Bonds Ownership of a bond is the ownership of a stream of future cash payments. Those cash payments are usually made in the form of periodic interest payments and the return ofprincipal when the bond matures. In the absence of credit risk (the risk of default), the value of that stream of […]

How The U.S. Government Formulates Monetary Policy

By Reem Heakal on December 31, 2011 A monetary policy is the means by which a central bank (also known as the “bank’s bank” or the “bank of last resort”) influences the demand, supply and, hence, price of money and credit, in order to direct a nation’s economic objectives. Following the Federal Reserve Act of 1913, the Federal Reserve […]