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jonny [76]
3 years ago
5

The Federal Reserve's tools to control the money supply include open-market operations, the discount rate, and interest payments

on reserves.
a. How should each instrument be changed if the Fed wishes to decrease the money supply?
b. Will the change affect the monetary base and/or the money multiplier?
Business
1 answer:
leva [86]3 years ago
3 0

Answer:

PART-1  

How should each instrument be changed if the Fed wishes to decrease the money supply?

The Fed would deportment open-market sales, increase the discount rate, and raise interest paid on reserves.

PART-2)  

Will the change affect the monetary base and/or the money multiplier?

The money multiplier refers to the capacity of money that financial institute like banks produce with each dollar of funds. Money base is exaggerated by the open-market processes and discount rate. Any alteration in interest expenditures on reserves modifies the money multiplier.

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<h3>What is transformational processes?</h3>

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complete question

Based on the systems viewpoint, a restaurant's ability to accept cash, credit, or both, is associated with which part of a system? Multiple Choice

financial

transformational processes

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feedback

inputs

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1 year ago
The management of urbine corporation is considering the purchase of a machine that would cost $340,000 would last for 4 years, a
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3 years ago
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Answer:

The correct answer is B.

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