In its role as money manager, the federal reserve has three primary goals: to maintain stable prices (control inflation), ensure maximum employment, and increase production output. how does the federal reserve achieve these goals?   to develop the taxation policiesraising and lowering the minimum wageraising and lowering short-term interest rates

The Federal Reserve achieves its goals by “Raising and lowering short-term interest rate”. The Federal Reserve focuses on the stability of the interest rate. It can do it in two different ways: to keep the interest rate low so that consumers can buy at affordable prices and so that companies can invest and grow, or to raise interest rate in order to prevent inflation and provide price stability.

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