Which of the Following Will Not Increase the Money Supply

question 155

Multiple Choice

Which of the following will not increase the money supply in the United States?

• A) lowering the required reserve ratio
• B) Fed purchases of government securities on the open market
• C) lowering the discount rate relative to the federal funds rate
• D) Fed sales of government securities on the open market
• E) none of the above

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Definitions:

Bailee

A Bailee is a person or entity that has temporary possession of someone else's property under a bailment agreement.

Bailor

A bailor is a person or entity that entrusts their property to another (the bailee) under a bailment agreement, where the property is to be returned or otherwise disposed of according to the bailment terms.

Bailee Liability

The legal responsibility of a bailee, someone temporarily holding property for another, for damage or loss of the property.

Car Wash Headquarters

A central office or main location from which the operations of multiple car wash facilities are managed or directed.