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If the Federal Reserve decreases the rate on required and excess reserves, what would be the ideal outcome? A.) real GDP decreases and deflation occurs B.) real GDP rises and th…

If the Federal Reserve decreases the rate on required and excess reserves, what would be the ideal outcome? A.) real GDP decreases and deflation occurs B.) real GDP rises and th…
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If the Federal Reserve decreases the rate on required and excess reserves, what would be the ideal outcome?

A.) real GDP decreases and deflation occurs

B.) real GDP rises and the unemployment rate increases

C.) real GDP rises and the unemployment rate decreases

D.) real GDP decreases and the unemployment rate decreases

asked
User Sergej Brazdeikis
by
8.3k points

1 Answer

4 votes

Answer:

C.) real GDP rises and the unemployment rate decreases

Step-by-step explanation:

answered
User Toan
by
7.9k points
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