Why the fed must normally add reserves to the banking system


Question: Explain why the Fed must normally add reserves to the banking system via open market operations on most days in order to maintain its interest rate target in the Fed Funds market.

Format your paper consistent with APA guidelines. Be sure to properly cite your references. If you used an electronic source, include the URL. If you used a printed source, attach a copy of the data to your paper

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Macroeconomics: Why the fed must normally add reserves to the banking system
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