To Produce Financial Stability,the Federal Reserve Would Want to

Multiple Choice

To produce financial stability,the Federal Reserve would want to

A) increase the money supply during an economic boom and reduce the money supply during a recession.
B) raise the interest rate during a recession to prevent excessive borrowing and increase income for struggling banks.
C) sell bonds during a recession and buy bonds during an economic boom.
D) raise the money supply and cut interest rates during a recession to stimulate spending.