Which Statement Lists Contractionary Policies

question 17

Multiple Choice

Which statement lists contractionary policies?

• A) The Fed sells bonds, lowers the discount rate, and raises the reserve requirements.
• B) The Fed sells bonds, lowers the discount rate, and lowers the reserve requirements.
• C) The Fed purchases bonds, lowers the discount rate, and lowers the reserve requirements.
• D) The Fed sells bonds, raises the discount rate, and raises the reserve requirements.