If the federal funds rate drops below the discount rate, banks will stop borrowing from the Fed.
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Q58: There are no options available to banks
Q59: According to your text, borrowing from the
Q60: Regardless of the nature of the loan
Q61: The discount rate is usually above the
Q62: The Fed exerts some control over the
Q64: When a bank repays a loan obtained
Q65: Most discount window loans require the bank
Q66: Banks borrow at the discount window only
Q67: Because of the possibility of negative psychological
Q68: Since the middle of 1999, the Fed's
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