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If Treasury Deposits at the Fed Are Predicted to ________,The

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If Treasury deposits at the Fed are predicted to ________,the manager of the trading desk at the New York Fed bank will likely conduct ________ open market operations to ________ reserves.


Definitions:

Propinquity

The phenomenon wherein people are more likely to form friendships or relationships with those who are geographically close or frequently encountered.

Positively Correlated

A relationship between two variables in which both variables move in the same direction.

Proximity

The physical closeness between people which can influence attraction and relationship formation.

Fundamental Attribution Error

The tendency to give more attention to dispositional factors than is appropriate for a situation.

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