Q1. Fed Funds rate is the interest rate for loans from (Blank) to (Blank)

a. a private bank; another private bank

b. a private bank; households and firms

c. Fed; a private bank

d. Fed; households and firms

Q2. Which of the following would be a liability for a private bank?

a. laons

b.reserves

c. U.S Treasury securities

d. deposits

Q3. You use money to exchange for goods and services This is related to which function of money?

a. fiat money

b. store of value

c. medium of exchange

d. unit of account

e. commodity money

Q4. Consider the following graph