Part II: The Federal Reserve notices this slowdown in the economy and decides to take steps to correct it. They can use their 4 tools in the following ways: e. Open Market Operations f Reserve Requirement g. Interest on Reserves h. Discount Rate Part III: Congress and the President also notice this slowdown in the economy and decides to take steps to correct it. They can use their 2 tools in the following ways: C. Taxes d. Government spending

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