Which of the Following Observations Concerning the Federal Funds Rate

question 115

Multiple Choice

Which of the following observations concerning the federal funds rate is NOT true?

• A)The cost of fed funds for the purchasing institution is the federal funds rate.
• B)The federal funds rate is set by DIs that trade in the fed funds market.
• C)The federal funds rate can vary considerably within the day.
• D)The federal funds rate can vary considerably across days.
• E)Rate variability has increased since the introduction of lagged reserve accounting.

---

Definitions:

Masculine Social Clock

The societal expectations placed on men about the timing of major life events, such as career advancement and family responsibilities.

Subjective Well-Being

An individual's self-reported assessment of their own happiness and satisfaction with life.

Cross-Sectional

A type of observational study design that analyzes data from a population, or a representative subset, at a specific point in time.

Longitudinal

Studies or research conducted over a long period of time to observe changes.