If the banking system has a large amount of excess reserves, which action would the Federal Reserve most likely take to raise the federal funds rate? Open market sale of securities Raise discount rate Increase tax rates for individuals and families Raise interest paid on excess reserves Increase reserve requirement ratio

If the banking system has a large amount of excess reserves, which action would the Federal Reserve most likely take to raise the federal funds rate? Open market sale of securities Raise discount rate Increase tax rates for individuals and families Raise interest paid on excess reserves Increase reserve requirement ratio

Economics For Today

10th Edition

ISBN:9781337613040

Author:Tucker

Publisher:Tucker

Chapter25: Money Creation

Section: Chapter Questions

Problem 9SQ

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