When the Fed sells government bonds, the reserves of the banking system
a. increase, so the money supply increases.
b. increase, so the money supply decreases.
c. decrease, so the money supply increases.
d. decrease, so the money supply decreases.
d
Economics
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a. True b. False Indicate whether the statement is true or false
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An expansionary fiscal policy is used to close an inflationary gap
a. True b. False Indicate whether the statement is true or false
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