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Simora [160]
3 years ago
11

In the market for reserves, a decline in the reserve requirement ________ the ________ curve of reserves and causes the federal

funds interest rate to fall, everything else held constant.
Business
2 answers:
Mice21 [21]3 years ago
5 0

Answer:

Shortens,

vertical section of the supply

Explanation:

In the market for reserves a decline in the reserve requirement shortens the vertical section of the supply curve of reserves and this will also cause the federal funds interest rate to fall,

Given that every other thing is kept constant

<em>The federal funds interest is an interest rate charged by banks when lending or borrowing excess reserves from each other overnight </em>

igor_vitrenko [27]3 years ago
4 0

Explanation:

Shortens, Vertical Section Of The Supply

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Barbara is a producer in a monopoly industry. Her demand curve, total revenue curve, marginal revenue curve and total cost curve
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22

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