When the discount rates fall, the cost:

a. of loans to bankers' best customers goes down.
b. of loans between banks falls.
c. of international loans falls.
d. to banks of borrowing from the Fed falls.
e. to savings and loans of borrowing money from the public falls.

d

Economics

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Using "chain-weighted" prices to calculate real GDP remedies the distortions causes by changes in relative prices over time

Indicate whether the statement is true or false

Economics

According to the real business cycle theory, the supply side shock from dramatic increases in oil prices in the 1970s led to higher unemployment because

A) when the real wage, W/P, fell, workers chose leisure. B) when the real wage, W/P, rose, workers chose leisure. C) workers increase Pe. D) None of the above.

Economics