Question
8.A commercial bank that is funded primarily with short-term deposits and which makes mostly longer-term fixed-rate loans will be adversely affected if the Federal Reserve
8.A commercial bank that is funded primarily with short-term deposits and which makes mostly longer-term fixed-rate loans will be adversely affected if the Federal Reserve ________________.
A.Implements policy tools to increase interest rates
B.Uses repos to inject reserves into the money systerm
C.Sets a target of lower interest rates
D.Monetized the debt
E>Maintains a stable money supply
9.The FDIC Improvement Act (FIDCIA) was passed into legislation in 1991. This legislation is an example of _________________:
A.Monetary policy
B.Fiscal policy
C.Deregulation
D.Re-regulation
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