When the Fed lowers the federal funds rate, which of the following economic variables responds most slowly?
A) consumption expenditure
B) the supply of loanable funds
C) the long-term real interest rate
D) other short-term interest rates
E) the inflation rate
Correct Answer:
Verified
Q120: Q123: Discretionary monetary policy is defined as policy Q124: If the Fed wants to fight inflation, Q125: When the Fed lowers the federal funds Q126: When the Fed raises the federal funds Q141: If the Fed raises the federal funds Q144: When the economy is in a recession,the Q145: Which of the following is a problem Q151: If the Fed lowers the federal funds Q152: If real GDP exceeds potential GDP,to move
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