The Interest Rate the Fed Charges on Loans It Makes

question 56

Multiple Choice

The interest rate the Fed charges on loans it makes to banks is called

• A)the prime rate.
• B)the federal funds rate.
• C)the discount rate.
• D)the LIBOR.

---

Definitions:

Unconditioned Stimulus

In classical conditioning, a stimulus that unconditionally—naturally and automatically—triggers a response.

Conditioned Stimulus

A previously neutral stimulus that, after becoming associated with the unconditioned stimulus, eventually comes to trigger a conditioned response.

Operant Conditioning

A learning process through which the strength of a behavior is modified by reinforcement or punishment.

Classical Conditioning

A learning process that occurs when two stimuli are repeatedly paired; a response that is at first elicited by the second stimulus is eventually elicited by the first stimulus alone.