Which of the Following Policy Action by the Fed Is

question 244

Multiple Choice

Which of the following policy action by the Fed is likely to cause the money supply to increase?

• A)An open market sale.
• B)An increase in required reserve ratios.
• C)An increase in the discount rate.
• D)An open market purchase.

---

Definitions:

Fraudulent Payment

A transaction made with the intent to deceive, defraud, or mislead another party, typically involving the transfer of funds.

Online Transaction Systems

Digital platforms and methods used for conducting financial transactions over the internet.

Wrongfully Dishonored

Pertains to the improper refusal by a bank to pay a legitimate draft or check presented for payment.

UCC

The Uniform Commercial Code consists of a wide-ranging group of laws that control every aspect of commercial transactions in the United States.