What is the usual relationship between the discount rate and the federal funds rate? What happens to

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What is the usual relationship between the discount rate and the federal funds rate? What happens to this relationship when the Fed moves toward a more expansionary policy?
Discount Rate
Depending upon the context, the discount rate has two different definitions and usages. First, the discount rate refers to the interest rate charged to the commercial banks and other financial institutions for the loans they take from the Federal...
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Principles of Money Banking and Financial Markets

ISBN: 978-0321339195

12th edition

Authors: Lawrence S. Ritter, William L. Silber, Gregory F. Udell

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