Grantham University Federal Reserve & Open Market Operations Paper
Business Finance
Federal Reserve & Open Market Operations
If the Fed shifts to a more restrictive monetary policy, and it utilizes the open market operations tool, describe what will happen to each of the following:
- the reserves available to banks
- real interest rates
- household spending on consumer durables
- the exchange rate value of the dollar
- net exports
- the prices of stocks
- real GDP
Please provide original work. No plagiarizing.