The Federal Funds Rate Is

question 240

Multiple Choice

The federal funds rate is:

• A) the minimum amount of reserves the Fed requires a bank to hold.
• B) the interest rate that the Fed charges banks who borrow from it.
• C) the interest rate on loans made by banks to other banks
• D) the maximum percentage of the cost of a stock that can be borrowed from a bank, with the stock offered as collateral.
• E) an appeal by the Fed to banks, asking for voluntary compliance with the Fed's wishes.

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Definitions:

Biofeedback

A technique that teaches individuals to control bodily processes that are typically involuntary, like heart rate, using monitoring devices.

Biofeedback

A technique that trains people to improve their health by controlling bodily processes that normally happen involuntarily, such as heart rate.

Anxiolytics

Medications used to reduce anxiety symptoms.

Physiological Responses

Physiological responses refer to the automatic reactions or adaptions of the body to internal or external stimuli.