Everything Else Held Constant,in the Market for Reserves,when the Federal

question 24

Multiple Choice

Everything else held constant,in the market for reserves,when the federal funds rate is 3%,lowering the discount rate from 5% to 4%

• A)lowers the federal funds rate.
• B)raises the federal funds rate.
• C)has no effect on the federal funds rate.
• D)has an indeterminate effect on the federal funds rate.

---

Definitions:

Organized Belief System

A structured set of beliefs and practices shared by a community or society, often centered around religion or ideology.

Objective Evidence

Information that is observable, measurable, and unaffected by personal feelings or opinions; considered factual and reliable.

Conviction

A firmly held belief or opinion, or the legal determination that someone is guilty of a crime.

Sacred Symbols

Objects, signs, or emblems that represent significant religious or spiritual beliefs and are held with reverence and respect.