Which of the Following Policies Is Most Frequently Adopted When

question 14

Multiple Choice

Which of the following policies is most frequently adopted when the Fed is attempting to adjust the money supply?

• A)Changing reserve requirements
• B)Open market operations
• C)Changing the discount rate
• D)Changing the interest rate it pays on reserves
• E)Changing the federal funds rate

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Definitions:

Happenstance

An event or occurrence that happens by chance, without apparent cause.

Nominal Group Session

A structured form of group meeting aiming to generate ideas or make decisions, where each member participates equally.

Round-Robin

A strategy or method involving a sequence or rotation where each participant takes part in an activity in turn.

Rank Order

A sequential arrangement of items, individuals, or values according to their level of importance, hierarchy, or superiority.