In the United States, the Federal Reserve has A. the same arrangement as the Bank of Canada has with the Canadian government. B. an inflation target, which has been in place since 1991. C. no goals....

Extracted text: In the United States, the Federal Reserve has A. the same arrangement as the Bank of Canada has with the Canadian government. B. an inflation target, which has been in place since 1991. C. no goals. D. an inflation target of 2% mandated by Congress. E. a dual mandate. The real interest rate is approximately equal to A. the growth in real GDP. B. the nominal interest rate plus the inflation rate. C. the nominal interest rate minus the inflation rate. D. the nominal interest rate. E. one divided by the nominal interest rate minus the inflation rate.