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Directly? What does that mean? The Fed has several ways to raise interest rates. When they do something that raises rates that effects big banks and little banks alike promptly and these raise their rates. Over time, too, adjustable loan rates reset to the new higher rate (or lower rate) but this takles more time as the reset annual date is reached on each loan.
What else can I help you with?
If the federal reserve act was the cause what was the effect?
The banking system of the United States was changed
What is the most likely effect of the Federal Reserve lowering the discount rate on overnight loans?
The most likely effect of the Federal Reserve lowering the discount rate on overnight loans would be an increase in the money supply. an increase in the money supply
What leads directly to the crowding-out-effect?
Big Federal Budget Deflict
What effect do market operations have on the federal reserve?
they allow the Fed to change the nation's money supply to its most ideal level
If the federal reserve sells 40 000 in treasury bonds to a bank with 5 interest what is the immediate effect on the money supply?
If the federal reserve sells $40,000 in treasury bonds to a bank with 5% interest the immediate effect on the money supply is an decrease of $40,000.
What does multiplier effect mean?
The multiplier effect describes how an increase in some economic activity starts a chain reaction that generates more activity than the original increase. The multiplier effect demonstrates the impact that reserve requirements set by the Federal Reserve have on the U.S. money supply.
If the federal reserve sells 50000 in Treasury bonds to bank at 6 interest what is the immediate effect on the money supply?
it is decreased by 50000
What effect do open market operations have on the Federal Reserve?
they allow the Fed to change the nation's money supply to its most ideal level
What was an effect of great society programs on native?
Federal aid went directly to tribal governments.
If the Federal Reserve sells 50000 in Treasury bonds to a bank at 6 interest what is the immediate effect on the money supply?
It Is b
What was on effect of great Society programs on Native Americans?
Federal aid went directly to tribal governments
What was the effect of Great Society programs on Native Americans?
Federal aid went directly to tribal governments
