What is the discount rate?
What will be an ideal response?
The discount rate is the interest rate that the Fed charges banks when the banks borrow reserves from the Fed.
Economics
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In a competitive labor market, marginal revenue product equals marginal product times the wage rate
a. True b. False Indicate whether the statement is true or false
Economics
The government often intervenes when private markets fail to provide an optimal level of certain goods and services. For example, the government imposes an excise tax on gasoline to account for the negative externality that drivers impose on one another. Why might the private market not reach the socially optimal level of traffic without the help of government?
Economics