Question

Does the money supply increase or decrease if interest rates decrease?

Answer 1

huh knows

Answer 2

Lower rates increase the money supply and boost economic activity; however, decreases in interest rates fuel inflation, and so the Fed must be careful not to lower interest rates too much for too long.

Answer 3

heres my source: https://www.investopedia.com/ask/answers/07/central-banks.asp#:~:text=Lower%20rates%20increase%20the%20money,too%20much%20for%20too%20long.

Answer 4

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