Multiple Choice
________ are the most important monetary policy tool because they are the primary determinant of changes in the ________,the main source of fluctuations in the money supply.
A) Open market operations;monetary base
B) Open market operations;money multiplier
C) Changes in reserve requirements;monetary base
D) Changes in reserve requirements;money multiplier
Correct Answer:
Verified
Correct Answer:
Verified
Q38: The Federal Open Market Committee makes the
Q39: Everything else held constant,in the market for
Q40: In the market for reserves,if the federal
Q41: In the market for reserves,if the federal
Q42: A decrease in _ increases the money
Q44: If float is predicted to decrease because
Q45: If the Fed expects currency holdings to
Q46: Everything else held constant,in the market for
Q47: The purpose for a central bank to
Q48: Discount policy affects the money supply by