Answer the following questions:

– Discuss the impact of the bank mergers on the structure of American banking. Why do banks merge?

– What is the federal funds market? How does it help banks strike a balance between liquidity and profitability?

– Why has the Federal Reserve chosen to focus on the federal funds rate rather than some other interest rate as a tool of monetary policy?

– What is the difference between a depreciation of the dollar and a devaluation of the dollar?

– Explain why a U. S. recession that occurs as the rest of the world is expanding will tend to reduce the U. S. Trade deficit.


Your Assignment requires that you submit at least two references one from your textbook and from the database “STATISTA”

You will be able to access STATISTA database by going to your FNU Library ( ) “LIRN” (Access ID> 24439 / Password> fnulibrary39)

– Once you have signed to LIRN

– Go to your Business section


– Type the topic to be searched (As examples) type:

– Federal Funds Market

– U. S. Recession

– U.S. Trade Balance

– You will get search results for your selection

– Click on your selection and it will display information to be used on your assignment (text, data, graphs, etc)

– It will also give you a window for your citation (choose APA) and copy/paste on your assignment’s references page