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36. In a corridor system of monetary policy, which of the following is true? (A)The interest rate paid on central bank reserves tends to be
36. In a "corridor" system of monetary policy, which of the following is true?
- (A)The interest rate paid on central bank reserves tends to be higher than both money market rates and the central bank's lending facility rate.
- (B)The interest rate paid on central bank reserves tends to be lower than money market rates and the central bank's lending facility rate tends to be higher
- (C)Money market rates tend to be lower than both the interest rate paid on central bank reserves and the central bank lending facility rate.
- (D)Money market rates tend to be higher than both the interest rate paid on central bank reserves and the central bank lending facility rate.
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