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    Principles of Economics Study Set 1
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    Exam 26: Stabilizing the Economy: The Role of the Fed
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    When the Federal Reserve Lends Reserves to Commercial Banks, This
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When the Federal Reserve Lends Reserves to Commercial Banks, This

Question 160

Question 160

Multiple Choice

When the Federal Reserve lends reserves to commercial banks, this is an example of:


A) a change in reserve requirements.
B) an open-market sale.
C) an open-market purchase.
D) discount window lending.

Correct Answer:

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