In the market for reserves, when the federal funds rate is above the interest rate paid on excess reserves, the demand curve for reserves is

In the market for reserves, when the federal funds rate is above the interest rate paid on excess reserves, the demand curve for reserves is

In the market for reserves, when the federal funds rate is above the interest rate paid on excess reserves, the demand curve for reserves is




A) vertical.
B) horizontal.
C) positively sloped.
D) negatively sloped.



Answer: D