Which of the Following Actions Is Most Likely to Be

question 66

Multiple Choice

Which of the following actions is most likely to be taken by the Federal Reserve System in periods of rising inflation? 

• A) Pursuing an easy-money policy 
• B) Reducing interest rates 
• C) Inducing consumers to spend more and businesses to invest more 
• D) Reducing the rate of growth in the amount of money in circulation 
• E) Expanding the rate of growth of the money supply

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