Author Question: If the Fed paid a lower interest rate to banks on their reserves at the Fed, the money supply would ... (Read 80 times)

fasfsadfdsfa · **on:** Jun 30, 2018

If the Fed paid a lower interest rate to banks on their reserves at the Fed, the money supply would tend to rise.
a. True
b. False
Indicate whether the statement is true or false

Question 2

A leftward shift in the money demand function would result from:
a. a decrease in the money supply.
b. a decrease in the price level.
c. an increase in real income.
d. a decrease in the interest rate.
e. an increase in the interest rate

ecox1012 · **Reply #1 on:** Jun 30, 2018

Answer to Question 1

True

Answer to Question 2

b

fasfsadfdsfa · **Reply 2 on:** Jun 30, 2018

Gracias!

momolu

Excellent

Author Question: If the Fed paid a lower interest rate to banks on their reserves at the Fed, the money supply would ... (Read 80 times)

fasfsadfdsfa

If the Fed paid a lower interest rate to banks on their reserves at the Fed, the money supply would ...

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ecox1012

If the Fed paid a lower interest rate to banks on their reserves at the Fed, the money supply would ...

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