Multiple Choice
Open market sale will result in:
A) increase in bank reserves and a decrease in the federal funds rate.
B) increase in bank reserves and an increase in the federal funds rate.
C) decrease in bank reserves and a decrease in the federal funds rate.
D) decrease in bank reserves and an increase in the federal funds rate.
Correct Answer:
Verified
Correct Answer:
Verified
Q51: Banks with excess reserves will supply more
Q52: The function of money that enables money
Q53: Open market purchases and sales are conducted
Q54: The monetary base is $1,000 billion and
Q55: An increase in the reserve requirement would:<br>A)decrease
Q57: A decrease in the discount rate would:<br>A)decrease
Q58: The store of value does not require
Q59: The private financial market where banks borrow
Q60: The money supply consists of:<br>A)currency plus reserves.<br>B)currency
Q61: In the money market,a decrease in money