
Under usual circumstances,an increase in the discount rate causes
A) the federal funds rate to fall.
B) the federal funds rate to rise.
C) no change in the federal funds rate.
D) the supply of reserves to increase.
E) the supply of reserves to decrease.
Correct Answer:
Verified
Q1: An open market purchase of securities by
Q2: An open market purchase
A) shifts the supply
Q5: The monetary base consists of
A) currency in
Q6: The supply curve for reserves is _
Q7: The supply curve for reserves shifts to
Q8: Holding everything else constant,if the federal funds
Q9: Bank reserves can be categorized as
A) vault
Q10: A discount loan by the Fed to
Q11: If the Fed increases reserve requirements,the demand
Q57: The actual execution of open market operations
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