Changes in the Federal Funds Rate Usually Result in

question 143

Multiple Choice

Changes in the federal funds rate usually result in

• A)changes in both short-term and long-term interest rates with more of an effect on short-term interest rates.
• B)changes in both short-term and long-term interest rates with more of an effect on long-term interest rates.
• C)changes in both short-term and long-term interest rates with equal effect on both.
• D)no change in both short-term and long-term interest rates.

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Definitions:

Consideration

The value, such as money, promised, given, or done that induces a party to enter into a contract.

Society Duty

The ethical obligation or responsibility of individuals and organizations to act for the benefit of society at large, promoting social welfare and fairness.

Crime

An act prohibited by the state; a public wrong.

Exclusive Dealing

A contractual agreement where one party agrees to buy goods exclusively from another, often restricting competition.