When the Fed sells government securities, banks' reserves ________, the quantity of money ________, and the federal funds rate ________
A) decrease; decreases; falls
B) decrease; increases; falls
C) increase; increases; falls
D) increase; decreases; rises
E) decrease; decreases; rises
E
You might also like to view...
________ is the study of economic aggregates and the economy as a whole
A) Ergonomics B) Econometrics C) Macroeconomics D) Microeconomics
The opportunity costs associated with the use of resources owned by a firm are:
a. externalities. b. implicit costs. c. explicit costs. d. sunk costs.
Any factor that shifts the supply curve inward and to the left and does not affect the demand curve will raise the equilibrium price and reduce the equilibrium quantity
a. True b. False Indicate whether the statement is true or false
Liquidity refers to the
a. rapidity with which money flows through the economy. b. ease with which an asset can be converted into cash. c. ease with which banks move funds from checking to savings accounts. d. All of the above are correct.