Question: QUESTION 20 Suppose the Feds decide to decrease reserve requirements, which of the following will occur? O A. The SUPPLY of the monetary base will

QUESTION 20 Suppose the Feds decide to decrease reserve requirements, which of the following will occur? O A. The SUPPLY of the monetary base will increase O.B. The SUPPLY of the monetary base will decrease OC The DEMAND for the monetary base will increase D. The DEMAND for the monetary base will decrease QUESTION 21 Suppose the Feds decide to decrease reserve requirements, which of the following will occur? O A. The Federal Funds rate will decrease, expanding the economy. OB. The Federal Funds rate will decrease, contracting the economy OC. The Federal Funds rate will increase expanding the economy. OD. The Federal Funds rate will increase contracting the economy. QUESTION 22 Suppose the Feds decide to decrease reserve requirements, which of the following is likely to occur? O A Unemployment will increase and inflation will increase OB. Unemployment will increase and inflation will decrease OC. Unemployment will decrease and inflation will increase OD. Unemployment will decrease and inflation will decrease

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