The tool the Fed uses to keep the federal funds rate close to the target is:
A) the required reserve rate.
B) discount lending.
C) open market operations.
D) they can set the rate by law.
Correct Answer:
Verified
Q2: One outcome that would result if the
Q4: If the demand for reserves remains constant
Q4: Which of the following statements is most
Q5: The fact that there is a market
Q6: The Fed could make the market federal
Q7: During the financial crisis of 2007-2009 it
Q8: If the current market federal funds rate
Q10: The tools of monetary policy include:
A)the target
Q11: If the market federal funds rate were
Q12: Federal funds loans are: ?
A) secured loans between banks
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