The discount window is a:
A) lending facility that allows any bank to borrow reserves from the Fed.
B) lending facility that banks can use at specified times to borrow reserves needed to meet reserve requirements.
C) term used for large banking transactions that are associated with lower risk, and therefore qualify for lower interest rates.
D) term used for when large banks offer a lower interest rate for attracting more borrowers.
Correct Answer:
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A)
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