Which of the Following Represents a Tight Monetary Policy by the Fed

question 128

Multiple Choice

Which of the following represents a tight monetary policy by the Fed?

• A)The required reserve ratio increases,the discount rate increases,and the Fed buys government securities.
• B)The required reserve ratio increases,the discount rate increases,and the Fed sells government securities.
• C)The required reserve ratio increases,the discount rate decreases,and the Fed sells government securities.
• D)The required reserve ratio decreases,the discount rate increases,and the Fed buys government securities.

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Definitions:

Sequencer Position

A control process or step in a sequence where a particular operation or series of operations is to be executed.

Energized

The state of being powered or having electrical current flowing through, commonly referring to circuits, devices, or components.

Position Parameter

A numerical value or setting that determines the position or configuration of a device or system component.