Bankers supported the Federal Reserve Board's Regulation Q because:
a. it allowed them to charge lower interest rates on loans.
b. it protected them from money market volatilities.
c. it increased the demand for loanable funds in the market.
d. it allowed them to borrow at a low rate of interest and lend out at a high rate of interest.
D
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The U-shaped yield curve in the figure above indicates that the inflation rate is expected to
A) remain constant in the near-term and fall later on. B) fall sharply in the near-term and rise later on. C) rise moderately in the near-term and fall later on. D) remain constant in the near-term and rise later on.
Which of the following makes long-term low-interest loans to LDCs?
a. International Monetary Fund (IMF) b. Agency for International Development (AID) c. World Bank d. New International Economic Order (NIEO)
Explain the main arguments in favor of economic stabilization
Ceteris paribus, which of the following would cause a decrease in the demand for HD TVs, a normal good?
A. decline in the price of HD TVs. B. increase in the price of HD TVs. C. increase in consumers' income. D. decrease in consumers' income.