The Money Supply in Macroland Is Currently 2,500, Bank Reserves

Multiple Choice

The money supply in Macroland is currently 2,500, bank reserves are 200, currency held by public is 500, and banks' desired reserve-deposit ratio is 0.10. Assuming the values of the currency held by the public and the desired reserve-deposit ratio do not change, if the Central Bank of Macroland wishes to increase the money supply to 3,000, then it should conduct an open-market ________ government bonds.

A) purchase of 50
B) purchase of 250
C) sale of 500
D) sale of 50