The money supply contracts when the Fed
A. replaces old worn-out notes and bills.
B. borrows from the Treasury.
C. sells government securities.
D. purchases stocks from corporate businesses.
Answer: C
You might also like to view...
Which of the following observations is not true?
a. Demand curve of the perfectly competitive firm is perfectly elastic. b. There is only one price for a product in a perfectly competitive market. c. A firm in a perfectly competitive market can sell as much as it wants at market price. d. Demand curve of the perfectly competitive industry is perfectly elastic.
The development of complex algorithms that perform "brain work" in the future is likely to:
A. increase the number of jobs requiring little thought. B. higher income equality. C. increase overall employment. D. lengthen the overall workweek.