Although the Federal Reserve had traditionally made discount loans only to commercial banks, in response to the financial crisis in 2008 the Fed made ________ eligible for discount loans as well
A) savings banks B) primary dealers
C) the Treasury Department D) mortgage brokers
B
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Give an example of a public good. Explain what characteristics make this good a public good
What will be an ideal response?
You're called in as a consultant: Price is $24 . At a production level of 200 units, MC = MR, AFC = $6, and AVC = $25 . What do you advise this firm to do?
a. Increase output. b. Decrease output. c. Shut down operations. d. Stay at the current output; the firm is earning a profit of $1,400. e. Stay at the current output; the firm is losing $1,400.
Which of the following conclusions is not supported by the Three-Sector-Model?
a. A decrease in borrowing demand causes the real risk-free interest rate to fall and equilibrium quantity of real loanable funds to rise. b. An increase in the supply of a nation's real loanable funds reduces the real risk-free interest rate and increases the equilibrium quantity of real loanable funds. c. An increase in a nation's demand for goods and services within the intermediate range results in an increase in the real GDP and a higher GDP Price Index. d. An increase in the value of a nation's currency encourages domestic imports and discourages exports. e. All of the above are supported by the Three-Sector Model.
If the demand for a good decreases because consumer income increases, the good is a(n):
A. inferior good. B. normal good. C. necessity good. D. luxury good.