when the Fed sells US gov securities to a bank the Fed
What will be an ideal response?
decreases the monetary base and decreases the quantity of money.
You might also like to view...
Prior to 2008, the bank's cost of holding reserves equaled
A) the interest paid on deposits times the amount of reserves. B) the interest paid on deposits times the amount of deposits. C) the interest earned on loans times the amount of loans. D) the interest earned on loans times the amount on reserves.
Which of the following statements is true concerning the trend in hospital care between in-patient and out-patient services since the mid-1980s?
a. Both have been declining. b. Out-patient services have been static while in-patient services have been declining. c. Out-patient services have increased substantially because admissions are down. d. Both have been growing. e. There has been no noticeable trend in either in-patient or outpatient services.
Behaving strategically means:
A. evaluating decisions in which players act in their own self-interest, but the interplay of those decisions does not exist. B. acting to achieve a goal by anticipating the interplay between your own and others' decisions. C. acting to achieve a goal by withholding key information from the person with whom an exchange is being made. D. evaluating the impact of your choices on an uninvolved third party.
Exhibit 4-3 Supply and demand curves
In Exhibit 4-3, which of the following might cause a shift from S2 to S1?
A. A decrease in input prices. B. A decrease in technology. C. An increase in input prices. D. An increase in consumer income.