The discount rate Group of answer choices a. is the interest rate on loans of reserves...

Question

Question

The discount rate

Group of answer choices

a. is the interest rate on loans of reserves from one bank to another

b. is the main target of policy used by the Fed

c. is the main tool of policy used by the Fed

d. is not often changed for monetary policy

business economics

Answer 1

Answer #1

The discount rate is the interest rate on loans of federal reserves from one bank to another bank

Therefore correct answer is a.

Answer 2

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