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What are the two methods a central bank can use to achieve its overnight interest rate?target, and how do these two approach What are the

What are the two methods a central bank can use to achieve its overnight interest rate?target, and how do these two approach

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What are the two methods a central bank can use to achieve its overnight interest rate target, and how do these two approaches work? (Select all that apply.) A. Under a floor system, the central bank achieves its nominal interest rate target either through lending or borrowing in the overnight market. B. Under a corridor system, the central bank supplies a sufficient quantity of central bank deposits to the market, and then pegs the overnight interest rate by setting the interest rate on central bank deposits. O C. Under a floor system, the central bank supplies a sufficient quantity of central bank deposits to the market, and then pegs the overnight interest rate by setting the interest rate on central bank deposits. D. Under a channel system, the central bank sets a lending rate to financial institutions, and then supplies loans elastically at that interest rate to whichever financial institutions want to borrow. OE. Under a corridor system, the central bank achieves its nominal interest rate target either through lending or borrowing in the overnight market. OF. Under a floor system, the central bank sets a lending rate to financial institutions, and then supplies loans elastically at that interest rate to whichever financial institutions want to borrow. O G. Under a channel system, the central bank supplies a sufficient quantity of central bank deposits to the market, and then pegs the overnight interest rate by setting the interest rate on central bank deposits

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