Figure 15-10 -Refer to Figure 15-10.In the Figure Above,suppose the Economy Is

Multiple Choice

Figure 15-10
-Refer to Figure 15-10.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) an increase in income taxes
B) a decrease in the required reserve ratio
C) an open market purchase of Treasury bills
D) an open market sale of Treasury bills