Central bank represent monetary easing-monetary tightening

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Reference no: EM131603349

Discuss whether the following actions by a central bank represent monetary easing or monetary tightening:

i) The central bank raises the discount rate, i.e., the rate charged on money borrowed from the central bank by member banks.

ii) The central bank raises the reserve requirements.

iii) The central bank purchases government bonds in the open market.

iv) The central bank raises the recommended federal funds rate, i.e., the rate at which member banks borrow funds from each other

Reference no: EM131603349

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