How does a reduction in the discount rate affect the money supply

When the Fed lowers the discount rate, this increases excess reserves in commercial banks throughout the economy and expands the money supply. On the other hand, when the Fed raises the discount rate, this decreases excess reserves in commercial banks and contracts the money supply.

Explanation:

answer; /// i believe the correct answer is (wine) ; /// good luck

explanation:

with the profits from the european sales, merchants purchased europe's manufactured  goods, including tools and weapons. then the merchants shipped those manufactured  goods, along with the  american  sugar and rum, to west africa where they were bartered for  slaves.