To decrease the money supply, the Fed may
A) buy government securities in the open market.
B) decrease the discount rate.
C) increase the required reserve ratio.
D) b and c
E) all of the above
C
Economics
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Increased deficit financing, following the use of expansionary fiscal policy by the U.S., will raise U.S. interest rates and causes the dollar to appreciate
Indicate whether the statement is true or false
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The inelastic demand for agricultural products means that a(n):
A. Decrease in price will increase farm incomes B. Increase in price will decrease farm incomes C. Decrease in price will decrease farm incomes D. Increase in price will not change farm incomes
Economics