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29 January, 20:47

A bank temporarily short of required reserves may be able to remedy this situation by

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  1. 29 January, 20:50
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    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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