Which of the following is likely in response to the policy initiative described in the In the News article titled "Fed Cuts Deposit Reserve Requirements"?

Question

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The policy initiative of cutting deposit reserve requirements by the Fed would mean that banks are required to hold less money in reserves, providing them with more money to lend to borrowers. Therefore, the most likely outcome in response to this initiative would be an increase in bank lending, as they have more funds available to process loans. The unemployment rate and inflation rate are not directly tied to the reserve requirement policy and may be impacted by other factors.

Which of the Following Is Likely in Response to the Policy