Which of the Following Fed Actions Increases the Excess Reserves

question 186

Multiple Choice

Which of the following Fed actions increases the excess reserves of commercial banks?

• A) selling bonds to the public
• B) selling bonds to commercial banks
• C) increasing the discount rate
• D) lowering the reserve ratio

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Definitions:

Within-Subjects Design

A research design in which the same participants are exposed to all conditions or treatments.

Fatigue

A state of physical or mental weariness resulting from exertion or illness.

Task Performance

The process and evaluation of how well an individual or group executes a specific task or activity, often measured against predetermined criteria or objectives.

Subjectivity

The quality of being based on or influenced by personal feelings, tastes, or opinions.