Question
Chapter 13. The Federal Reserve System: Pre-Class & In-Class Activities Packet Name/I.D. Number: _______________________________________________________________ Section:____________ Date: _________ ______ 2. What are the differences between the
Chapter 13. The Federal Reserve System: Pre-Class & In-Class Activities Packet Name/I.D. Number: _______________________________________________________________ Section:____________ Date: _________ ______ 2. What are the differences between the Fed and the U.S. Treasury? __________________________________________________________ ___________ ____________________________________________________________________________________________________________________________ 4. Explain how an open market sale decreases the money supply._______________________________________________________________ __ ___________________________________________________________________________________________________________________________________ 6. Explain how a decrease in the required reserve ratio increases the money supply. _________________________________________ ____________________________________________________________________________________________________________________________ 8. The Fed can change the discount rate directly and the federal funds rate indirectly. Explain._____________________________ _____________________ ____________________________________________________________________________________________________________________________ 10. Explain how market forces would determine the money supply under free banking.___________________________________________ _____________ ____________________________________________________________________________________________________________________________
ECONOMICS ROGER A. ARNOLD THIRTEEN EDITION
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