When the Fed Sells Treasury Bonds on the Open Market

question 50

Multiple Choice

When the Fed sells Treasury Bonds on the open market, it will tend to

• A) decrease the money supply and raise interest rates.
• B) decrease the money supply and lower interest rates.
• C) increase the money supply and raise interest rates.
• D) increase the money supply and lower interest rates.

---

Definitions:

Property

An attribute or characteristic of an object, element, or entity, often used in programming to store and manipulate data.

Number Field

A data field designed to contain numerical entries, often used in databases and forms to ensure data consistency and facilitate calculations.

Store Values

A concept in programming where data is saved in a variable or a data storage location.

Money

A medium of exchange in the form of coins and banknotes; used to facilitate transactions for goods and services.