Describe the Federal Reserve Banking System. Which is the most vital? Which is less important? Why?
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A: Money market is a type of market which involves trading in short-term debt financial instruments.
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Q: Why do banks hold reserves? How do banks decisions on reserves affect the money supply?
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Q: Explain in fully the function of the money market in the context of the financial market, please.
A: Money market is a type of market which involves trading in short-term debt financial instruments.
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Q: 3. How do the central banks implement expansionary monetary policy using monetary policy tools?…
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Q: What are conventional monetary tools used by central banks?
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Describe the Federal Reserve Banking System. Which is the most vital? Which is less important? Why?
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Solved in 2 steps
- what is MORATORIUM” IN BANKING? explain.Suppose that the Reserve Bank "tightens" monetary policy. In what order do events occur when this happens? Answer: First: ? Second: ? Third: ? Fourth: ? Select from (the pic attached)what are the tools the Federal Reserve uses to control monetary policies. Expand on how the Federal Reserve System uses the interest rate to affect the money supply.