Respuesta :
The federal reserve has a mandate from congress that includes price stability and employment.
Federal reserve:
The Federal Reserve must implement monetary policy, according to the Federal Reserve Act. Even though the legislation specifies three different objectives for monetary policy, the dual mandate for the Fed's monetary policy is more often used. The conditions necessary for interest rates to stabilise at moderate levels are created by an economy in which those who want to work either have a job or are likely to find one fairly quickly, and in which the price level (meaning a broad measure of the price of goods and services purchased by consumers) is stable.
The demand for products and services declines when interest rates rise. This is especially true for industries that are most affected by interest rates, such housing and durable goods, where supply and demand are most out of balance.
So, the correct option is A.
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