Problem
Describe What Happens When the Fed Lends Money Banks that are short on cash may ask to borrow funds from the Federal Reserve System. This sometimes happens when banks located in rural areas need money to make loans to farmers in the spring when they are preparing to plant crops. These loans are repaid the following fall, after farmers have harvested and sold their crops. Write an essay that describes what would happen in the economy if a bank borrowed $10 million from the Fed and used this money to make loans to farmers.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.