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GaryK [48]
3 years ago
5

2. When the economy is in a recession, the Federal Reserve usually cuts interest rates. Why would the federal government do this

?
Business
1 answer:
Airida [17]3 years ago
7 0
The purpose of the Federal Reserve cutting interest rates during a recession is to encourage borrowing (borrowing becomes cheaper) and in this way especially for companies they may spend more money then  on improvements, new products etc so the economy theoretically will be stimulated to counteract the recession.
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On October 1, 2017, Vaughn, Inc., leased a machine from Fell Leasing Company for five years. The lease requires five annual paym
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Explanation:

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