Multiple Choice
Which of the following Fed actions increases the excess reserves of commercial banks?
A) selling bonds to the public
B) selling bonds to commercial banks
C) increasing the discount rate
D) lowering the reserve ratio
Correct Answer:
Verified
Correct Answer:
Verified
Q181: If the Fed buys government securities from
Q182: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8601/.jpg" alt=" A) $75. B)
Q183: Commercial bank reserves, most of which are
Q184: In recent years (after the financial crisis
Q185: The Fed's inability to stimulate the economy
Q187: Assume that a single commercial bank has
Q188: <span class="ql-formula" data-value="\begin{array} { | c |
Q189: An expansionary monetary policy may be less
Q190: The discount rate is the interest rate
Q191: The interest rate that banks charge one