Real-time data provided by Federal Reserve Economic Data (FRED), Federal Reserve Bank of Saint Louis.
Determine the federal funds rate (Series ID: FEDFUNDS) and the discount rate (Series ID: MPCREDIT) for December 01, 2023 (shown as 2023 - 12 - 01 in FRED). In this case, you can expect the supply of reserves to be
A. horizontal because banks will not borrow from the Fed.
B. vertical because banks will borrow from the Fed.
C. vertical because banks will not borrow from the Fed.
D. horizontal because banks will borrow from the Fed.
