To Prevent Shortages of Cash During a Crisis,the Fed

question 24

Multiple Choice

To prevent shortages of cash during a crisis,the Fed:

• A)saves up cash in bank vaults around the country and the world.
• B)reduces liquidity in the economy so that more cash can be saved.
• C)sells U.S.government securities to commercial banks.
• D)demands interest payments on reserves held at the Fed.
• E)increases the discount rate.

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Definitions:

Admission Decision

The outcome of an application process by which an institution or organization decides whether to allow an individual to enter as a member, student, employee, etc.

Discharge Delayed

A situation where the release of a patient from a healthcare facility is postponed beyond the expected time due to varying reasons.

Major Surgery

Surgical procedures that involve significant risk, extensive alteration of body parts, or substantial recovery periods.

Minor Surgery

A medical procedure that is typically quick, involves minimal cutting, and requires little to no recovery time.