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Q: Assume the US economy is in short-run equilibrium with a price level of 150 and output of 6 billion The money m What is the impact of the Federal Reserve's policy on the equilibrium interest rate?
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How the Federal Reserve can influence the federal funds interest rate?

If the Fed wants to raise the federal funds interest rate, it will sell securities to remove reserves from the banking system.


How did the federal reserves higher interest rates in the 1930s complicate the Great Depression?

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Does the us pay interest to the federal reserve?

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