Bracket creep forces taxpayers to pay a larger percentage of their income in taxes when which of the following occurs?

If there is a change in the federal funds rate from a target rate due to a decrease in the demand for reserves, the Fed can maintain the target by:

A) causing an upward movement along the supply of reserves curve. B) causing the supply curve of reserves to shift to the left. C) causing a downward movement along the supply of reserves curve. D) causing the supply curve of reserves to shift to the right.

U.S. Treasury deposits at the Federal Reserve Banks are:

A. A liability of the Federal Reserve Banks and the U.S. Treasury B. An asset of the Federal Reserve Banks and the U.S. Treasury C. A liability of the Federal Reserve Banks and an asset for the U.S. Treasury D. An asset of the Federal Reserve Banks and a liability for the U.S. Treasury