Grantham ECN206 Impacts of The Fed Restrictive Open Market
ECN 206 GU Impacts of The Fed Restrictive Open Market Operations Paper
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

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