FOMC directive. (Announcements).

The Federal Open Market Committee decided on August 13, 2002, to keep its target for the federal funds rate Federal Funds Rate

The interest rate at which a depository institution lends immediately available funds (balances at the Federal Reserve) to another depository institution overnight. unchanged at 1 3/4 percent.

The softening in the growth of aggregate demand that emerged this spring has been prolonged in large measure by weakness in financial markets and heightened uncertainty related to problems in corporate reporting and governance.

The current accommodative stance of monetary policy, coupled with still-robust underlying growth in productivity, should be sufficient to foster an improving business climate over time.

Nonetheless, the Committee recognizes that, for the foreseeable future, against the background of its long-run goals of price stability and sustainable economic growth and of the information currently available, the risks are weighted mainly toward conditions that may generate economic weakness.

Voting for the FOMC See Federal Open Market Committee.

FOMC

See Federal Open Market Committee (FOMC). monetary policy action were Alan Greenspan, Chairman; William J. McDonough

For other people named William McDonough, see William McDonough (disambiguation).

William J. McDonough, vice chairman and special advisor to the chairman at Merrill Lynch & Co. Inc. , Vice Chairman; Ben S. Bernanke; Susan S. Bies; Roger W. Ferguson, Jr.; Edward M. Gramlich; Jerry L. Jordan; Donald L. Kohn; Robert D. McTeer Robert D. McTeer is the chancellor of the Texas A&M University System.

Born in Georgia, he earned his B.B.A. and Ph.D. in economics from the University of Georgia and taught there for two years before joining the Federal Reserve Bank of Richmond. , Jr.; Mark W. Olson This article needs sources or references that appear in reliable, third-party publications. Alone, primary sources and sources affiliated with the subject of this article are not sufficient for an accurate encyclopedia article. ; Anthony M. Santomero; and Gary H. Stern.

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Publication:	Federal Reserve Bulletin
Date:	Oct 1, 2002
Words:	174
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