The Central Bank Is Said to Monetize the Deficit When

question 57

Multiple Choice

The central bank is said to monetize the deficit when it

• A)prints Federal Reserve notes to satisfy the increased demand for money.
• B)sells government bonds from its own portfolio of government securities.
• C)requires member banks to buy the bonds to finance the deficit.
• D)purchases the bonds that the government issues.

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Definitions:

Chronic Diseases

Long-lasting conditions that typically can be controlled but not cured, often leading to ongoing health issues and impacting quality of life.

Intellectual Wellness

A component of wellbeing focused on engaging in creative and mentally-stimulating activities, pursuing lifelong learning, and being open to new ideas.

Reduced Life Expectancy

A decrease in the average duration an individual is expected to live, often due to health complications or diseases.

Obesity

A medical condition in which excess body fat has accumulated to the extent that it may have a negative effect on health.