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    Principles of Macroeconomics Study Set 18
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    Exam 12: Monetary Policy and the Federal Reserve
  5. Question
    Refer to the Figure Below
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Refer to the Figure Below

Question 39

Question 39

Multiple Choice

Refer to the figure below.If the Federal Reserve wants to lower the interest rate to 3%, it must ______ the money supply to _____. Refer to the figure below.If the Federal Reserve wants to lower the interest rate to 3%, it must ______ the money supply to _____.   A) increase; 300 B) decrease; 300 C) increase; 900 D) increase; 700


A) increase; 300
B) decrease; 300
C) increase; 900
D) increase; 700

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