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Suppose the U.S. Treasury pays contractors to conduct repairs on the interstate highway system, causing the Treasury's deposits at the Fed to fall. What effect
Suppose the U.S. Treasury pays contractors to conduct repairs on the interstate highway system, causing the Treasury's deposits at the Fed to fall.
- What effect will this have on reserves and the monetary base?
- What defensive action will the Fed take to counteract this result?
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Basic Econometrics
Authors: Damodar N. Gujrati, Dawn C. Porter
5th edition
73375772, 73375779, 978-0073375779
