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  • 22-04-2020
  • Business
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A bank temporarily short of required reserves may be able to remedy this situation by

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ogorwyne
ogorwyne ogorwyne
  • 26-04-2020

Answer:

By borrowing reserves in the federal funds market

Explanation:

The Federal funds market is a market where commercial bank Institutions can borrow or lend reserves, it allows these banks which are short of their required reserves to borrow reserves from the federal reserve at a relatively low interest rate. This lending is done overnight.

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