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Please explain why QUESTION A discount loan by the Fed to a bank causes a(n) ________ in reserves in the banking system and a(n) ________
Please explain why
QUESTION
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A discount loan by the Fed to a bank causes a(n) ________ in reserves in the banking system and a(n) ________ in the monetary base.
A. increase; decrease
B. decrease; decrease
C. decrease; increase
D. increase; increase
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