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A sound policy to combat a temporary liquidity shortage in the banking system would be _ _ . a . a reduction in the discount

A sound policy to combat a temporary liquidity shortage in the banking system would be__. a. a reduction in the discount rate, b. a decrease in the discount rate, c. the purchase of government securities by the Fed under a repurchase agreement, d. the sale of government securities by the Fed under a repurchase agreement.

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