If the Fed Wanted to Keep Income at the Original

question 40

Multiple Choice

If the Fed wanted to keep income at the original level after a tax increase, it would need to

• A)buy government securities in open market operations
• B)sell government securities in open market operations
• C)raise reserve requirements
• D)raise the primary credit rate (the discount rate)
• E)raise the currency-deposit ratio

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Definitions:

Auditory Stimuli

Sounds that are perceived by the ear, ranging from simple tones to complex noises, which can influence psychological and physiological responses.

Syntactical Structure

The arrangement of words and phrases to create well-formed sentences in a language, following specific grammatical rules and patterns.

Whole Objects Words

Early language acquisition concept where children recognize and name whole objects rather than focusing on the individual properties or parts.

Superordinate Words

are general terms that encompass a broad category of items or concepts, opposite to more specific or subordinate terms.