asked 13.6k views
1 vote
Why might the federal reserve influence the money supply and interest rates in the economy?

asked
User Parze
by
7.8k points

1 Answer

2 votes

Answer:

Through lowering the reserve requirements , banks are able to loan more money, through which it increases the overall supply of money in the economy

answered
User Brod
by
8.4k points

No related questions found

Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.