What is effect of open market sale on federal funds rate

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Reference no: EM131392353

1. What is the natural rate of unemployment?

a. The level of unemployment due only to frictional and structural unemployment rather than cyclical unemployment

b. When there is no unemployment in the economy

c. The level of unemployment that keeps the economy growing

d. None of these

2. What is the effect of an open market sale on the Federal Funds rate?

a. It causes it to rise

b. It causes it to fall

c. It does not affect the Federal funds Rates

d. It is uncertain

Reference no: EM131392353

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