Answer:
(c) discount rate
Step-by-step explanation:
The discount rate is the interest rate at which a central bank lends money to commercial banks. When the central bank increases the discount rate, it becomes more expensive for commercial banks to borrow money from the central bank, and this can lead to an increase in interest rates in the broader economy. This is because commercial banks may pass on the higher borrowing costs to their customers in the form of higher interest rates on loans.
Open market operations refer to the buying and selling of government securities by a central bank in the open market, with the aim of influencing the money supply and interest rates.
Reserve requirements refer to the amount of money that commercial banks are required to hold in reserve by the central bank, as a proportion of their deposits.
Quantitative easing refers to the purchase of government securities or other financial assets by a central bank in order to inject more money into the economy and stimulate lending and economic growth.