The Federal Reserve cannot consistently keep the federal funds rate below discount rate.
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Q5: To lower the equilibrium federal funds rate
Q6: On the graph of supply and demand
Q7: Only depository institutions can borrow from the
Q8: If the equilibrium federal funds rate equals
Q9: A change in the discount rate shifts
Q11: If the demand for reserves intersects the
Q12: An open market sale of bonds shifts
Q13: On the graph of supply and demand
Q14: On the graph of supply and demand
Q15: The discount rate is the opportunity cost
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