The fed wants to increase the money supply which is, Business Economics

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The fed wants to increase the money supply which is

The Fed wants to increase the money supply (which is currently 4,000) by 200. The money multiplier is 3. For each 1 percentage point the discount rate falls, banks borrow an additional 20. Explain how the Fed can achieve its goals using the following tools: (LO30-3)

a. Change the reserve requirement.

b. Change the discount rate.

c. Use open market operations.

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Business Economics: The fed wants to increase the money supply which is

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