The discount rate is the interest rate at which:  A. Commercial banks lend to the central bank  B. The central bank borrows from commercial banks  C. The central bank borrows from the government  D. The government borrows from commercial banks

The discount rate isQuestion 29Answera.the interest rate banks charge their best customers.b.the interest rate the U.S. Treasury pays on Treasury Bills.c.the interest rate banks charge each other for overnight loans.d.the interest rate the Fed charges to banks for loans from the Fed.

Multiple Choice QuestionWhich statement accurately describes the discount rate?Multiple choice question.The discount rate serves to discourage banks from borrowing from the Fed.The discount rate only applies to loans given to the general public.If the Fed wants to decrease the money supply, it will lower the discount rate.When online businesses borrow from the government, they are subject to the current discount rate.

What happens when a country's central bank raises the discount rate for banks?A.Banks must pay the government interest on all cash they keep on hand.B.Banks must pay more for short-term loans from the government.C.Banks are required to sell all their treasury securities on the open market.D.Banks are forced to set aside more of their money instead of lending it.SUBMITarrow_backPREVIOUS

Multiple Choice QuestionThe discount rate is the ______.Multiple choice question.dollar amount reduced by the Fed for banks that meet compliance guidelinespercentage of deposits that banks must hold in reserveinterest rate that the Federal Reserve charges to loan money to member banksamount that bonds are discounted on open market activities

Bank rate is for a) Commercial banks by the government b) Commercial banks by the central bank c) Central banks by the central banks d) Central Bank by the commercial banks