Changes in the Overnight Interest Rate Usually Result in

Multiple Choice

Changes in the overnight interest rate usually result in

A) changes in both short-term and long-term interest rates with more of an effect on short-term interest rates.
B) changes in both short-term and long-term interest rates with more of an effect on long-term interest rates.
C) changes in both short-term and long-term interest rates with equal effect on both.
D) no change in both short-term and long-term interest rates.
E) changes in the short-term real interest rate but not the short-term nominal interest rate.