Quantitative Easing Refers to a Policy Action in Which a Central

question 62

Multiple Choice

Quantitative easing refers to a policy action in which a central bank

• A) sells government securities to directly decrease bank reserves.
• B) buys government securities to directly increase bank reserves.
• C) increases interest rates directly without altering bank reserves.
• D) decreases interest rates directly without altering bank reserves.

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Definitions:

Coniferous Forest

A biome characterized by evergreen trees with needles and cones, such as pines, spruces, and firs.

Coral Reef System

A diverse underwater ecosystem characterized by reef-building corals. These systems are found in warm, shallow ocean waters and support a wide range of marine life.

Freshwater

Water that has a low salt concentration, commonly found in rivers, lakes, streams, and ponds.

Oxygen

A chemical element with symbol O, critical for the survival of most terrestrial life forms, acting as the final electron acceptor in cellular respiration.