An expansionary period refers to a phase in the economic cycle when economic activity increases, leading to higher deposits and liquidity in banks. During this period, banks often have excess funds, which they may lend in the federal funds market... Read More
An expansionary period refers to a phase in the economic cycle when economic activity increases, leading to higher deposits and liquidity in banks. During this period, banks often have excess funds, which they may lend in the federal funds market or invest in short-term instruments.
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