When the Federal Reserve increases the federal funds rate, bank loans-------------------- , the supply of loanable funds --------------------, and the real interest rate --------------------.
A) increase; increases; falls
B) decrease; decreases; rises
C) increase; increases; rises
D) does not change; decreases; rises
E) decrease; does not change; rises
Correct Answer:
Verified
Q19: In the United States,
A)the President initializes changes
Q20: The Fed decreases the quantity of money
Q21: The federal funds rate is
A)also known as
Q22: If the Fed's policies aim to increase
Q23: Discretionary monetary policy is monetary policy that
Q25: If the Fed buys U.S. government securities
Q26: If the Fed raises the federal funds
Q27: As the Fed lowers the federal funds
Q28: Q29: 
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