Open Market Purchase Will Result In

question 2

Multiple Choice

Open market purchase will result in:

• A)increase in bank reserves and a decrease in the federal funds rate.
• B)increase in bank reserves and an increase in the federal funds rate.
• C)decrease in bank reserves and a decrease in the federal funds rate.
• D)decrease in bank reserves and an increase in the federal funds rate.

---

Definitions:

Discouraged

Feeling a loss of confidence or enthusiasm; disheartened.

Depressed

A state of low mood and aversion to activity that can affect a person's thoughts, behavior, feelings, and sense of well-being.

Multiple Intelligences

A theory by Howard Gardner suggesting that intelligence is not a single entity but consists of various distinct types, each one representing different ways of processing information.

Bodily Kinesthetic

Relates to the intelligence that involves physical movement and the knowledge of the body and its capabilities.