Which of the Following Actions of the Fed Would Increase

question 36

Multiple Choice

Which of the following actions of the Fed would increase the money supply?

• A) The purchase of U.S. government securities.
• B) A reduction in the discount rate.
• C) A reduction in the required reserve ratio.
• D) All of the above are correct.

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Definitions:

Offset

An offset refers to a deviation or displacement from a reference point or value, commonly used in contexts ranging from programming (memory addresses) to mechanical systems (alignment).

Network Node

An individual electronic device in a network that can send, receive, or forward information.

Amplifies Signal

A process or device that increases the power, voltage, or current of a signal.

Derivative Action

In control systems, a feedback mechanism that is proportional to the rate of change of the error signal, used to predict and stabilize future system behavior.