The Discount Window overseas the daily operations of the Fed's monetary policy O is a facility at the Fed that allows government bonds to be sold at a discount

Economics Dec 13, 2020

The Discount Window overseas the daily operations of the Fed's monetary policy O is a facility at the Fed that allows government bonds to be sold at a discount. O provides loans to commercial banks, and the interest rate charged on these loans is called federal funds rate. O enables the Fed to perform its lender of last resort function.

Expert Solution

The Discount Window enables the Fed to perform it's lender of last resort action.

So Option D is the correct option for this answer.

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