Which of the Following Policy Actions by the Fed Would

question 101

Multiple Choice

Which of the following policy actions by the Fed would cause the money supply to increase?

• A)An open market sale of government securities.
• B)An increase in required reserve ratios.
• C)A decrease in the discount rate.
• D)All of these.

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Definitions:

Placenta

An organ that develops in the uterus during pregnancy, providing oxygen and nutrients to the growing baby while removing waste.

Umbilical Cord

A flexible cord-like structure connecting a fetus to the placenta, delivering nutrients and removing waste during pregnancy.

Endoderm

The inner layer of an embryonic disk, which will develop into the digestive system, liver, lungs, pancreas, salivary glands, and respiratory system.

Ovum

The female reproductive cell or egg cell.