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According to the Interest-Rate-Based Monetary Policy Transmission Mechanism

Question 280

Multiple Choice

According to the interest-rate-based monetary policy transmission mechanism


A) an increase in the required reserve ratio will lower interest rates.
B) a decrease in the required reserve ratio will lower interest rates.
C) a decrease in the required reserve ratio will not affect interest rates.
D) an increase in the required reserve ratio will not affect interest rates.

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