If the Fed Fears Inflation,it Would Be Most Likely to

question 98

Multiple Choice

If the Fed fears inflation,it would be most likely to

• A)buy additional bonds in order to reduce the federal funds rate.
• B)buy additional bonds in order to increase the federal funds rate.
• C)sell additional bonds in order to increase the federal funds rate.
• D)sell additional bonds in order to reduce the federal funds rate.

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Definitions:

Potassium Ions

Positively charged atoms that are essential for various physiological processes in living organisms, including nerve impulse transmission and muscle contraction.

Sodium Channels

Membrane proteins involved in the conduction of sodium ions through neuronal and muscle cell membranes, crucial for generating electrical signals.

Voltage-gated Channels

Protein channels that open or close in response to changes in membrane potential, allowing ions to enter or exit cells and facilitate electrical signaling.

Resting Neuron

A neuron in its non-excited state, maintaining a stable negative charge inside the cell relative to the outside, ready to transmit signals when activated.