Log in
Economics
1
answer
0
watching
77
views

Which of the following will lead to a decrease in the equilibrium interest rate in the​ economy?
 

A) an increase in the discount rate

B) a sale of government securities by the Fed

C) a decrease in GDP

D) an increase in the reserve requirement

E) an increase in the price level

Watch
1
answer
0
watching
77
views

For unlimited access to Homework Help, a Homework+ subscription is required.

Joshua Stredder
Joshua StredderLv10
25 Sep 2020

Unlock all answers

Get 1 free homework help answer.
Already have an account? Log in
Share

Related textbook solutions

Principles of Economics
2nd Edition, 2017
Openstax
ISBN: 9781947172364
Principles of Macroeconomics
2 Edition,
Openstax
ISBN: 9781947172388
Principles of Microeconomics
2 Edition,
Openstax
ISBN: 9781947172340

Related questions

1) If the economy was experiencing a severe recession, which of the following combinations of monetary and fiscal policy actions would be most appropriate?

a. a decrease in the reserve requirement coupled with an increase in taxes

b. the sale of government securities by the Fed coupled with an increase in the level of government spending.

c. the purchase of government securities by the Fed coupled with a decrease in the level of government spending.

d. the purchase of government securities by the Fed coupled with a tax reduction

e. an increase in the reserve requirement coupled with a tax reduction

f. the purchase of government securities by the Fed coupled with a tax increase

Which of the following actions by the fed would reduce the money supply:

a. the open market purchase of government bonds.

b. a reduction in the banks' reserve requirement.

c. an increase in the interest rate paid on reserves. 

d. a decrease in the discount rate on FED lending.

If the Fed buys government securities, then there is

Select one:

a. an increase in the required reserve ratio.

b. a decrease in the discount rate.

c. a decrease in the supply of money.

d. an increase in the supply of money.

Weekly leaderboard

Home
Homework Help 3,900,000
Economics 400,000
Start filling in the gaps now
Log in