Author Question: Once the Fed decides on the interest rate it wants in the federal funds market, its most common ... (Read 73 times)

brutforce · **on:** Jun 29, 2018

Once the Fed decides on the interest rate it wants in the federal funds market, its most common method of achieving this rate is by

A) changing tax rates. B) conducting open market operations.
C) altering exchange rates. D) changing reserve requirements.

Question 2

The above figure shows the market for pizza. The market is in equilibrium when new pizza firms enter the market. What point represents the most likely new price and quantity?

A) A B) B C) C D) D E) E