What policy tool of the Federal Reserve relies on bank borrowing to be effective?

A. Check collection
B. The reserve requirement
C. The discount rate
D. Open-market operations

Answer: C

Economics

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________ in economics is a measure of satisfaction or happiness that comes from consuming a good or service

A) Budget B) Utility C) Income effect D) Substitution effect

Economics

Countries with different initial levels of per capita income may gravitate to a similar level of per capita income. Economists call this phenomenon ________

A) convergence B) simulation C) gravitation D) depreciation

Economics