The interest rate that the Fed charges banks for borrowing funds ...

[sabina]

The interest rate that the Fed charges banks for borrowing funds is called the federal funds rate.
 a. True
  b. False
  Indicate whether the statement is true or false

Question 2

If interest rates decrease:
 a. the quantity of money demanded will not change.
  b. the money demand function will shift to the right.
  c. the quantity of money demanded will decrease.
  d. the money demand function will shift to the left.
  e. the quantity of money demanded will increase.

[SamMuagrove]

Answer to Question 1

False

Answer to Question 2

e