question archive To change the federal funds rate, the Fed: a
Subject:EconomicsPrice:2.88 Bought3
To change the federal funds rate, the Fed:
a. Increase or removes money from the stock market,
b. Uses open market operations to change the quantity of reserves,
c. Changes the income tax rate on interest income,
d. Coordinates with banks on establishing the new rate,
e. Tells banks how much to charge.
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