The Federal Funds rate is
A. directly determined by the Federal Reserve.
B. determined by market forces alone, without Federal Reserve influence.
C. determined by market forces but targeted by the Federal Reserve.
D. determined by Congress.
Answer: C
You might also like to view...
The current price of concert t-shirts is $20 each, and the company has been selling 400 per week. If price elasticity is 2.5 and the price changes to $21, how many t-shirts will be sold per week?
What will be an ideal response?
Other things equal, the higher the fiscal deficit, the higher the required increase in base money
a. True b. False Indicate whether the statement is true or false
Which of the following statements best describes the best public policy solutions for international trade?
a. The best public policy solutions involve some degree of protectionism, while finding other ways for public policy to address the particular issues, eventually allowing the benefits of international trade to occur. b. The best public policy solutions typically do not involve protectionism but instead involve finding ways for public policy to address the particular issues, while limiting the benefits of international trade to occur. c. The best public policy solutions typically do not involve protectionism but instead involve finding ways for public policy to address the particular issues, while still allowing benefits of international trade to occur. d. The best public policy solutions require protectionism, in addition to finding ways for public policy to address the particular issues, while still allowing the benefits of international trade to occur.
Banks prefer to make loans than keep reserves because they earn interest on loans and must pay interest on reserves.
Answer the following statement true (T) or false (F)