What Would Be a Way for the Federal Reserve to Stimulate

question 26

Multiple Choice

What would be a way for the Federal Reserve to stimulate a sluggish economy?

• A) print more money
• B) buy government bonds on the open market
• C) sell more government bonds
• D) encourage the stock market

---

Definitions:

Autonomic

Pertaining to the autonomic nervous system, which controls involuntary body functions such as heart rate, digestion, and respiratory rate.

Somatic

Relating to or affecting the body, distinct from the mind or emotions.

Parasympathetic

A division of the autonomic nervous system responsible for relaxation and conserving energy, often referred to as the "rest and digest" system.

Sympathetic

Relating to the sympathetic nervous system, part of the autonomic nervous system that orchestrates the body's rapid involuntary response to dangerous or stressful situations.