Which of the Following Statements Is True of Open-Market Operations

question 82

Multiple Choice

Which of the following statements is true of open-market operations?

• A)Open-market operations involve clearing checks.
• B)Open-market operations involve lending money to member banks.
• C)Open-market operations involve accepting deposits from member banks.
• D)Open-market operations involve the Fed's purchase and sale of government securities.
• E)Open-market operations involve the Fed's purchase and sale of foreign exchange.

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Definitions:

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