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Suppose that in the market for reserves, the federal funds rate is 2.4% and the discount rate is 8%. If the Federal Reserve Bank decides

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Suppose that in the market for reserves, the federal funds rate is 2.4% and the discount rate is 8%. If the Federal Reserve Bank decides to raise the discount rate, then the curve should shift and afterwards, the equilibrium rate will demand; rise demand: not change supply; rise supply: not change

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