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VikaD [51]
3 years ago
12

The Fed may respond to a recession by

History
2 answers:
Karolina [17]3 years ago
6 0

Recession sucks and the role of lifting a country out of it is often given to the government. Recession has several attributes such as low consumption, investment, government spending, and net export activity. The government may intervene by relaxing monetary policy by increasing money supply, or increasing government spending. The government may also lend money to corporations to help them steer clear from default or collapse.They also decrease interest rates so people will have more cash and so have more spending power.

dezoksy [38]3 years ago
5 0

The correct answer is B) decreasing interest rates.

The other options of the question were A) discouraging consumer borrowing. C) decreasing government spending. D) decreasing available credit.

The Fed may respond to a recession by decreasing interest rates.

In the United States, the Federal Reserve plays the role of the Central Bank and oversees the American financial system and the monetary policy of the country. During a recession, the Fed may respond to a recession by decreasing interest rates to try to promote access to credit in order to reactivate the economy. With a low-interest rate, the Fed is inviting businesses to invest in new projects.

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I hope it helps :D

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4.) Quartering Act – This was simply a new version of the 1765 Quartering Act which required Americans to provide accommodations (housing , food, clothing etc.) to British soldiers if necessary.

5.) Quebec Act – This act extended the Canadian border (British territory) into the Ohio River Valley and eliminated lands that were claimed by Massachusetts, Virginia and Connecticut.

These acts were called the Intolerable Acts in America and resulted in the formation of the Continental Congress.

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Should we ensure that the winner of the popular vote also wins the Electoral College?
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