Figure 15-9 -Refer to Figure 15-9.In the Figure Above Suppose the Economy

Multiple Choice

Figure 15-9
-Refer to Figure 15-9.In the figure above suppose the economy is initially at point A.The movement of the economy to point B as shown in the graph illustrates the effect of which of the following policy actions by the Federal Reserve?

A) a decrease in income taxes
B) an increase in the required reserve ratio
C) an open market purchase of Treasury bills
D) an open market sale of Treasury bills