In Figure 15

question 88

Multiple Choice

In Figure 15.3,the Fed can change the equilibrium interest rate from 2 percent to 6 percent by

• A)Buying bonds in the open market.
• B)Decreasing the reserve requirement.
• C)Raising the discount rate.
• D)Increasing the amount of coins in circulation.

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Definitions:

Bowman's Capsule

A cup-like sac at the beginning of the tubular component of a nephron in the kidney, which encases the glomerulus and is involved in the filtration of blood.

Ammonia

A colorless gas with a penetrating odor, NH3, which is a byproduct of nitrogenous waste in organisms and used in various industrial processes.

Urea

Nitrogen-containing waste compound derived from ammonia; water is required to excrete it.

Malpighian Tubes

The excretory system of certain arthropods, like insects and spiders, used for removing wastes and maintaining osmotic balance.