Multiple Choice
Contractionary monetary policy is achieved by:
A) decreasing the amount of bank reserves and lowering the federal funds rate.
B) decreasing the amount of bank reserves and raising the federal funds rate.
C) increasing the amount of bank reserves and lowering the federal funds rate.
D) increasing the amount of bank reserves and raising the federal funds rate.
Correct Answer:

Verified
Correct Answer:
Verified
Q71: The primary responsibility of conducting monetary policy
Q72: Expansionary monetary policy is achieved by:<br>A)decreasing the
Q73: The discount rate is influenced by Fed
Q74: A subway token does not fulfill the
Q75: In the context of the money market,graphically
Q77: The function of money that enables prices
Q78: The simple deposit multiplier is:<br>A)1/excess reserves.<br>B)1/reserve requirement.<br>C)1/deposit
Q79: The reserve requirement is 0.10.What is the
Q80: In the money market,an excess supply of
Q81: What are the three monetary policy tools