Interest paid on reserves held at the Fed:
A. is available to the general public, but not to commercial banks.
B. incentivizes financial institutions to hold more reserves and reduce risky lending.
C. is determined by the federal funds rate.
D. totaled over $1 trillion in 2012.
B. incentivizes financial institutions to hold more reserves and reduce risky lending.
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If suppliers expect the price of their product to fall in the future, then they will
a. decrease supply now. b. increase supply now. c. decrease supply in the future but not now. d. increase supply in the future but not now.
A restriction on imports is likely to reduce further restrictions on trade.
Answer the following statement true (T) or false (F)
Explain what factors cause changes in output in: (1 ) the short run; (2 ) medium run; and (3 ) long run
What will be an ideal response?
Incremental costs
a. are the total costs of abatement and regulation linked to environmental policy b. include only explicit costs c. refer to the change in costs associated with an environmental policy initiative d. include only implicit costs