When the Central Bank Sells Bonds on the Open Market

question 94

Multiple Choice

When the central bank sells bonds on the open market, the nation's money supply should:

• A) decrease.
• B) increase.
• C) not change.
• D) increase, decrease, or stay the same.

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Definitions:

Wetlands

Areas where water covers the soil, either year-round or for varying periods of time throughout the year, including marshes, swamps, and bogs, important for biodiversity and flood control.

Greenhouse Gas Emissions

The release of gases like carbon dioxide and methane into the atmosphere, which trap heat and contribute to global warming and climate change.

Productive Ecosystems

Ecosystems characterized by high levels of primary productivity, capable of supporting diverse species through abundant resources.

Overfishing

The practice of fishing at rates too high for fish populations to naturally replenish, leading to a depletion of the species.