Ceteris Paribus,if the Fed Sells Bonds Through Open Market Operations,the

question 30

Multiple Choice

Ceteris paribus,if the Fed sells bonds through open market operations,the money

• A)Supply curve should shift rightward.
• B)Supply curve should shift leftward.
• C)Demand curve should shift rightward.
• D)Demand curve should shift leftwarD.An open market sale decreases the money supply and shifts the curve to the left,resulting in a higher equilibrium interest rate.

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