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n200080 [17]
4 years ago
12

How does the Federal Reserve reduce the money supply in the economy?

Business
2 answers:
IrinaVladis [17]4 years ago
8 0

Answer:

Contractionary; Reserve ratio

Explanation:

If Fed wants to reduce the money supply in an economy then it must follow the contractionary monetary policy and it increases the reserve ratio.

Increase in the reserve ratio will lead to increase the amount of cash that banks are required to hold with Fed and with itself. And, this will also reduce the lending capability of the banks, so less amount of money would be used for giving loans which reduces the money supply in an economy.

Anni [7]4 years ago
3 0

Answer:

Using Contractionary monetary policy, the federal reserve increases Interest Rates to reduce the money supply in the economy​.

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vova2212 [387]

Answer:

B

Explanation:

My assumption here is the company receiving payment sold some sort of good or service. Deferred revenue is revenue received, but not yet earned, meaning it would be considered <em>earned</em><em> </em>in another period. This is recorded as a liability in the balance sheet.

3 0
3 years ago
G MC Qu. 87 When is a goodwill impairment loss... When is a goodwill impairment loss recognized?
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6 0
3 years ago
An inference engine is _________.
IrinaK [193]

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d. a strategy used to search through the rule base in an expert system by forward chaining or backward chaining.

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3 years ago
A firm creates value by?
djverab [1.8K]

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Paying more cash to its creditors and stockholders than the amount it received from them (1)

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6 0
3 years ago
Andrew is a financial planner and charges fees of 2% for every investment made. He made investments worth $500,000. What amount
eduard
Fees charge = 2%
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Amount due = 2/100 * 500,000 = 10,000
The amount Andrew will receive as compensation is $10,000.
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4 years ago
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