The Fed is often called a "lender of last resort" because a) It increases lending to commercial banks when there is a bank run b) It increases interest rates when there is not enough supply of money c) It increases reserves when commercial banks are hesitant to lend d) It directly lends to households and only specific types of companies 11. The Federal Reserve System primarily aims to a) Control any deficits in the federal budget b) Stabilize the economy through appropriate monetary policy c) Increase international trade with the rest of the world d) Decrease tax rates to have a greater circulation of currency in the economy 9. The main idea behind supply-side tax cuts is that a) Tax cuts increase spending, which increases aggregate supply b) Some tax cuts can increase aggregate supply c) People like lower taxes and will spend more if they get them d) It is easier to shift aggregate supply than aggregate demand