asked 172k views
0 votes
How could the federal reserve encourage banks to lend out more of their reserves?

asked
User Jkeary
by
8.1k points

2 Answers

2 votes

Answer:

by REDUCING THE DISCOUNT RATE.

Step-by-step explanation:

answered
User David Undy
by
8.2k points
2 votes
Had to look for the options and here is my answer.
How the Federal Reserve could persuade banks to lend out more of their reserves is by REDUCING THE DISCOUNT RATE. The Federal Reserve is known to be the central bank of the United States which regulates the financial activities of the nation and how this affects their economy. Hope this helps.
answered
User Alcanzar
by
7.8k points
Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.