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If the FED lowered the discount rate and no banks borrowed funds to increase their reserves, what would happen to the money supply? 1) it
If the FED lowered the discount rate and no banks borrowed funds to increase their reserves, what would happen to the money supply?
1) it would decrease, but only slightly
2) it would decrease significantly
3) it would increase, but only slightly
4) it would increase significantly
5) it would remain the same
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