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What will likely be the actions by the federal reserve

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Reference no: EM132476683

The Federal Reserve System was established to provide a stable monetary system for the entire economy. The Federal Reserve Bank (the Fed) has three major tools to control the money supply:

1) reserve requirements,

2) discount window for loans to member banks, and

3) open market operations.

When the economy is in a recessionary mode, what will likely be the actions by the Federal Reserve using monetary policy?

Reference no: EM132476683

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