An increase in the interest rate paid on excess reserves

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State whether the following statement is true or false AND explain why: "An increase in the interest rate paid on excess reserves will always cause an increase in the federal reserve funds rate."

Reference no: EM131076507

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An increase in the interest rate paid on excess reserves : State whether the following statement is true or false AND explain why: "An increase in the interest rate paid on excess reserves will always cause an increase in the federal reserve funds rate."

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