- 7 The Discount Rate Helps To Determine The Amount Of Money Banks Can Create Answer Reason 8 If The Central Bank Car 1 (27.75 KiB) Viewed 20 times
7. The discount rate helps to determine the amount of money banks can create. Answer: Reason: 8. If the central bank car
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7. The discount rate helps to determine the amount of money banks can create. Answer: Reason: 8. If the central bank car
7. The discount rate helps to determine the amount of money banks can create. Answer: Reason: 8. If the central bank carries out an open market operation and sellss government securities, the federal funds rate increases and the quantity of money decreases. Answer: Reason: 9. If the central banks sells bonds in the open market, net exports will increase. Answer: Reason: 10. In the short run, the central bank's actions to fight inflation shift the aggregate demand curve leftward. Answer: Reason:
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