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Macroeconomic Impact On Business Operations 11

Macroeconomic Impact on Business Operations

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Title: Macroeconomic Impact on Business Operations

Essay Details:

Subject: Business

Author: Sharon C

Date: April 1, 2015

Level:

Grade: A

Length: 6 / 1752

Essay text:

Reserve limitations are specified by law, and under the sole authority of the Board of Governors. (The Federal Reserve Board [FRB], 2006) While the Board of Governors has sole authority over the reserve requirements, manipulation to this policy is fairly infrequent, once every 5 to 10 years on average. (Johnson, 2005, para. 13) The second tool used by the Federal Reserve to control money supply is known as the discount rate (DR). The discount rate is the interest rate charged to commercial banks and other depository institutions on loans they receive from their regional Federal Reserve Bank's lending facility? Discount rates are established by each Reserve Bank's board of directors, subject to the review and determination of the Board of Governors of the Federal Reserve System...

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