fatimalandau8686 fatimalandau8686
  • 07-02-2019
  • Social Studies
contestada

You want a new truck. How can the Federal Reserve's raising of the discount rate affect your decision to purchase the truck?

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mrsedlack
mrsedlack mrsedlack
  • 07-02-2019

The correct answer is through interest rates.

When the Federal Reserve increases the discount, there will be a corresponding increase by banks in what rate they will lend at.

So, for a person buying a new car, they will see an increase in how much it costs to buy a car via loans.

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conyacam conyacam
  • 15-04-2019

Answer: D

Explanation: It will raise interest rates and make your truck payment higher.

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