A rise in the federal funds rate
A) raises the long-term real interest rate.
B) does not change the long-term real interest rate.
C) lowers the long-term real interest rate.
D) may raise or lower the long-term real interest rate, depending on whether the demand for loanable funds curve has a negative or a positive slope.
Correct Answer:
Verified
Q172: In October 2008, central banks around the
Q173: In September 2012 the Fed announced that
Q174: In October 2008, central banks around the
Q175: In November 2008, the Reserve Bank of
Q176: The People's Bank of China announced that
Q178: In November 2008, the Reserve Bank of
Q179: Businesses become convinced that future profits from
Q180: The main macroprudential regulation tools are
A) rules
Q181: "As the Fed Chases Inflation, Critics Shout,
Q182: Explain the ripple effects of a sale
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents