Which of the Following Actions Would Have the Effect of Increasing

question 95

Multiple Choice

Which of the following actions would have the effect of increasing the supply of money and credit and lowering interest rates?

• A)The Fed buys government securities.
• B)The Fed raises the margin requirement.
• C)The Fed raises the reserve requirement.
• D)The Fed raises the discount rate.

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Definitions:

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Contract Defense

Legal arguments used to challenge the enforceability of a contract, such as duress, misrepresentation, unconscionability, or lack of capacity.

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A loan with an interest rate that exceeds the legal limit set by law, often considered predatory.