Economy, asked by khaliA18, 24 days ago

how each of the three tools of the Federal Reserve could be
used in a contractionary way to decrease the money supply.

Answers

Answered by Sushilvardhan714
0

Explanation:

Contractionary Monetary Policy Using the Fed's Tools

To do this, the FOMC could raise its target range for the federal funds rate (FFR) and increase the administered rates—interest on reserve balances (IORB) rate, overnight reverse repurchase agreement (ON RRP) offering rate, and discount rate—accordingly.

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