This topic contains a solution. Click here to go to the answer

Author Question: If the Fed was to use all of its three most common tools to increase the money supply, it would: a. ... (Read 70 times)

APUS57

  • Hero Member
  • *****
  • Posts: 571
If the Fed was to use all of its three most common tools to increase the money supply, it would:
 a. buy bonds, reduce the discount rate, and reduce reserve requirements.
  b. sell bonds, reduce the discount rate, and reduce reserve requirements.
  c. sell bonds, reduce the discount rate, and increase reserve requirements.
  d. sell bonds, increase the discount rate, and increase reserve requirements.

Question 2

If the actual unemployment rate is below the natural rate of unemployment, then the actual inflation rate must exceed the expected inflation rate, and the economy will be operating along the short-run Phillips curve.
 a. True
  b. False
  Indicate whether the statement is true or false



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

alexisweber49

  • Sr. Member
  • ****
  • Posts: 311
Answer to Question 1

a

Answer to Question 2

True





 

Did you know?

There are over 65,000 known species of protozoa. About 10,000 species are parasitic.

Did you know?

Every flu season is different, and even healthy people can get extremely sick from the flu, as well as spread it to others. The flu season can begin as early as October and last as late as May. Every person over six months of age should get an annual flu vaccine. The vaccine cannot cause you to get influenza, but in some seasons, may not be completely able to prevent you from acquiring influenza due to changes in causative viruses. The viruses in the flu shot are killed—there is no way they can give you the flu. Minor side effects include soreness, redness, or swelling where the shot was given. It is possible to develop a slight fever, and body aches, but these are simply signs that the body is responding to the vaccine and making itself ready to fight off the influenza virus should you come in contact with it.

Did you know?

Your heart beats over 36 million times a year.

Did you know?

Though “Krazy Glue” or “Super Glue” has the ability to seal small wounds, it is not recommended for this purpose since it contains many substances that should not enter the body through the skin, and may be harmful.

Did you know?

In 1885, the Lloyd Manufacturing Company of Albany, New York, promoted and sold "Cocaine Toothache Drops" at 15 cents per bottle! In 1914, the Harrison Narcotic Act brought the sale and distribution of this drug under federal control.

For a complete list of videos, visit our video library