As a Result of an Open Market Purchase, Bank Reserves

question 81

Multiple Choice

As a result of an open market purchase, bank reserves

• A)rise and interest rates fall.
• B)fall and interest rates rise.
• C)and interest rates both rise.
• D)and interest rates both fall.

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Definitions:

Income Distribution

The way in which a nation's total GDP is spread amongst its population.

Collective Bargaining Agreement

A written contract between an employer and a union representing the employees, outlining terms of employment, wages, hours, and working conditions.

Informal Agreement

An understanding or arrangement that is not formally documented but is recognized and respected by those involved.

Terms and Conditions

The set of rules and policies that govern employment contracts, including work hours, salaries, benefits, and job responsibilities.