An Increase in the Amount of Discount Loans by the Fed

question 39

Multiple Choice

An increase in the amount of discount loans by the Fed

• A)increases the money supply by an amount equal to the increase in the loans times the multiplier.
• B)decreases the money supply by an amount equal to the increase in the loans times the multiplier.
• C)decreases the money supply by an amount greater than the increase in the loans times the multiplier.
• D)increases the money supply by an amount lower than the increase in the loans times the multiplier.

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Definitions:

Negative Attitudes

Predispositions or tendencies to evaluate an individual, group, or issue in an adverse or unfavorable manner.

Prejudice

Unfavorable attitude toward members of certain groups outside one’s own, especially racial or ethnic groups.

Discrimination

Unjust or prejudicial treatment of different categories of people or things, especially on the grounds of race, age, or sex.

Middle Childhood

A developmental stage that covers the period from around 6 to 12 years of age, characterized by significant growth in social, cognitive, and emotional abilities.