When banks are short on their reserves, they can either borrow from the ____ or from the ______.

Fill in the blank(s) with the appropriate word(s).


Federal Reserve (discount window); federal funds market

Economics

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The transaction demand for money comes mostly from the fact that

A) money is a medium of exchange. B) money has low opportunity cost. C) money is a store of value. D) money is a unit of account.

Economics

International trade is based on the existence of

A) absolute advantage. B) perfect advantage. C) productivity advantage. D) comparative advantage.

Economics

An example of contractionary fiscal policy is

A) increasing government spending. B) increasing taxes. C) decreasing government spending. D) decreasing taxes. E) b and c

Economics

Economy A: gross investment equals depreciation Economy B: depreciation exceeds gross investment Economy C: gross investment exceeds depreciation Other things equal, the above information suggests that the production capacity in economy:

a) B is growing more rapidly than either A or C. b) A is growing more rapidly than either B or C. c) A is growing less rapidly than economy B. d) C is growing more rapidly than economy B.

Economics