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    Economics Principles and Policy Study Set 2
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    Exam 29: Monetary Policy: Conventional and Unconventional
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    The Money Supply Contracts When the Fed
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The Money Supply Contracts When the Fed

Question 178

Question 178

Multiple Choice

The money supply contracts when the Fed


A) replaces old worn-out notes and bills.
B) borrows from the Treasury.
C) sells government securities.
D) purchases stocks from corporate businesses.

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