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r-ruslan [8.4K]
2 years ago
13

If the Federal Reserve raises the discount rate, what can consumers expect with

Social Studies
1 answer:
alexgriva [62]2 years ago
8 0

Answer:

A. Banks will increase the interest they charge for loans and increase the interest they

pay out for deposits.

Explanation:

If the Fed raises interest rates, it increases the cost of borrowing, making both credit and investment more expensive. This can be done to slow an overheated economy

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