Watchdog function and seal of approval function.Hope this helps
Answer:
The correct option is A: Banks decrease their prime rate.
Explanation:
When the government through the Federal Reserve ups the discount rate, other rates tend to follow in the same direction. The reverse is also true.
The discount rate is the rate at which the Federal Reserve lends to Commercial Banks. Commercial banks on the other hand, in order to keep the profit, are forced to adjust their prices in the direction of the discount rate.
The prime rate is the rate at which commercial banks lend to their customers who have very good credit ratings.
The discount rate in economics is one of the monetary policy tools available for use by the government. It is used to adjust factors such as money supply and inflation.
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An archaeologist discovering a Byzantine coin bearing a portrait of a woman indicates that in the Byzantine Empire <span>women were often rulers and participated in the government. The correct option among all the options that are given in the question is the second option or option "B". I hope it helps you.</span>
