A question about the Fed...?

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A question about the Fed...?

When the Fed wants people to spend more, it increases the money supply. A large money supply is called
Tight money?
An open vault?
Reserve currency?
Easy money?

2006-08-11 12:06:40 · 3 answers · asked by jackelynemartinez 2 in Politics & Government ➔ Government

3 answers

A large money supply, low interest rates is called "easy money." Interest rates are low making it easier to borrow. The fed also raises interest rates called tight money. The fed over does raising interest rates called starting a recession. It can also be called ben bernake's mistake.

2006-08-11 12:13:30 · answer #1 · answered by stick man 6 · 0⤊ 0⤋

These days ..... the Fed is very unscrupulous.

2006-08-11 12:12:14 · answer #2 · answered by vanamont7 7 · 0⤊ 0⤋

Are you in the middle of a test?

2006-08-11 12:11:28 · answer #3 · answered by Anonymous · 0⤊ 0⤋