How does it work and what is the objective for doing that? (10 points) 5. What is forward guidance? What was the rationale behind the Fed’s decision to issue forward guidance? (5 points) 6. The two most recent FOMC meetings were on December 18-19, 2018, and November 7-8, 2018. What were the FOMC’s assessment and prediction of the economy during these recent meetings? (5 points)