Mathematics

Jonah Davila

28 May, 09:40

Which one of the following statements about the Fed is

correct?

A. The Fed directly sets the discount rate and the prime

interest rate

B. The Fed directly sets neither the federal funds rate nor the

prime interest rate.

C. The Fed directly sets the prime interest rate but not the

federal funds rate.

D. The Fed directly sets both the federal funds rate and the

prime interest rate.

+2

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