Multiple Choice
When the Fed conducts open-market sales,
A) it sells Treasury securities,which increases the money supply.
B) it sells Treasury securities,which decreases the money supply.
C) it auctions term loans,which increases the money supply.
D) it auctions term loans,which decreases the money supply.
Correct Answer:
Verified
Correct Answer:
Verified
Q40: If the discount rate is lowered,banks borrow<br>A)less
Q41: Reserves increase if the Federal Reserve<br>A)raises the
Q42: If the reserve requirement is 10 percent,which
Q43: Which tool of monetary policy does the
Q44: If the federal funds rate were above
Q46: If the money multiplier is 3 and
Q47: When the Fed purchases $1000 worth of
Q48: If the reserve ratio is 15 percent,and
Q49: If people decide to hold more currency
Q50: The interest rate that the Fed charges