Question

Economic forecasters predict a long period of job growth and consumer spending. The Federal Reserve is most likely to do which of the following to encourage this expansion? A. Increase federal funds rate/ B. Keep the discount rate low / C. Sell government securities / D.Maintain high reserve requirements

Answer 1

ANSWER B) KEEP THE DISCOUNT RATE LOW

Answer 2

The right answer for the question that is being asked and shown above is that: "D.Maintain high reserve requirements" Economic forecasters predict a long period of job growth and consumer spending. The Federal Reserve is most likely to do in order to encourage this expansion is to maintain high reserve requirements