The correct answer is C) real GDP rises and the unemployment rate decreases.
The complete question is the following:
If the Federal Reserve decreases the rate on required and excess reserves, then it means that:
A) real GDP decreases and deflation occurs.
B) real GDP rises and the unemployment rate increases.
C) real GDP rises and the unemployment rate decreases.
D) real GDP decreases and the unemployment rate decreases.
So if the Federal Reserve decreases the rate on required and excess reserves, then it means that real GDP rises and the unemployment rate decreases.
The Federal Reserve -commonly known as the Fed- plays the role of the Central bank in the United States. The Fed regulates the money supply to maintain a healthy financial system. It has to make difficult decisions in difficult times in order to avoid a crisis and regulates the economy of the United States. The Fed procures to balance inflation with economic growth.
Mr. Z has forgotten about the time he made a fool out of himself so this much be the Repression defense mechanism at work.
<h3>What is the Repression defense mechanism?</h3>
It is a response to a traumatic or uncomfortable situation that a person went through at some point in their lives.
It involves unintentionally hiding the memories of that situation out of our conscious mind such that it would be very difficult to remember.
Mr. Z has forgotten the situation where he made a fool of himself so he must have repressed the memory.
Find out more on repression at brainly.com/question/7842386.
C is your answer for this question your welcome
What do you mean ???
I didn't get you please can you explain...
The plow :)
Hope this helps
