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When the Fed Uses Open Market Operations to Sell Some

Question 5

Multiple Choice

When the Fed uses open market operations to sell some of its Treasury securities, there will be


A) an outward shift in the supply schedule of loanable funds.
B) an inward shift in the supply schedule of loanable funds.
C) no shift in the supply schedule of loanable funds.
D) an outward shift in the demand schedule for loanable funds.

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