If the Federal Open Market Committee Decides to Increase the Money

Multiple Choice

If the Federal Open Market Committee decides to increase the money supply,then the Federal Reserve

A) creates dollars and uses them to purchase government bonds from the public.
B) sells government bonds from its portfolio to the public.
C) creates dollars and uses them to purchase various types of stocks and bonds from the public.
D) sells various types of stocks and bonds from its portfolio to the public.