Question 77 The number of times per year that a dollar is spent on final goods and services defines O the money supply. O the price index. O the income velocity of money. O GDP. Question 78 If the Fed has announced that it plans on lowering the interest rate it will O engage in contractionary open market operations, thereby decreasing the money supply. O engage in expansionary open market operations, thereby decreasing the money supply. O engage in contractionary open market operations, thereby increasing the money supply. O engage in expansionary open market operations, thereby increasing the money supply. Question 79 The federal funds rate is O the interest rate paid on reserves held with the Fed. O none of the above. O the interest rate at which banks can borrow excess reserves from other banks. O the interest rate on bonds issued by the federal government. Question 80 The interest rate that the Fed charges banks to borrow funds from the Fed is the O money market rate. O federal funds rate. O discount rate. O nominal interest rate. 1.25 pts 1.25 pts 1.25 pts 1.25 pts