17. Comment on this statement by an official of the Federal Reserve: [The Fed] can control nonborrowed
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17. Comment on this statement by an official of the Federal Reserve:
[The Fed] can control nonborrowed reserves through open market operations [but] it cannot control total reserves, because the level of borrowing at the discount window is determined in the short run by the preferences of depository institutions.17
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Related Book For
Foundations Of Global Financial Markets And Institutions
ISBN: 9780262039543
5th Edition
Authors: Frank J. Fabozzi, Frank J. Jones, Francesco A. Fabozzi, Steven V. Mann
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