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If the fed increases the supply of bank​ reserves, ________. a. the federal funds rate falls b. consumption falls c. investment falls d. the inflation

If the fed increases the supply of bank​ reserves, ________. a. the federal funds rate falls b. consumption falls c. investment falls d. the inflation
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If the fed increases the supply of bank​ reserves, ________.

a. the federal funds rate falls
b. consumption falls
c. investment falls
d. the inflation

User Icaksama
by
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2 Answers

1 vote
I believe that the answer is D.
User Chris Tavares
by
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6 votes
The federal funds rate falls , because the supply of the bank reserves increases
User Apurv Chaudhary
by
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