Open Market Operations by the Fed Lead to

question 174

Multiple Choice

Open market operations by the Fed lead to

• A) changes in the number of banks.
• B) immediate changes in aggregate supply.
• C) changes in the federal funds rate.
• D) shifts in the demand curve for reserves.

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Definitions:

Neuropsychologist

A specialist in neuropsychology, the study of the structure and function of the brain as they relate to specific psychological processes and behaviors.

Operant Conditioning

A learning process in which an action’s consequences determine how likely an action is to be performed in the future.

Vicarious Conditioning

Learning the consequences of an action by watching others being reinforced or punished for performing the action.

Sensitization

An increase in behavioral response after lengthy or repeated exposure to a stimulus.