Which of the Following Is an Open Market Purchase

question 202

Multiple Choice

Which of the following is an open market purchase?

• A) When private individuals sell government bonds
• B) When the Fed sells government bonds
• C) When private individuals purchase government bonds
• D) When bond dealers buy government bonds from the fed
• E) When the Fed buys government bonds

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Definitions:

Induce Voltage

The process by which a voltage is generated in a conductor by changing the magnetic field around it.

Constant Speed

Maintaining a uniform speed regardless of load or other external conditions.

Rotating Magnetic Field

A magnetic field that rotates in space within an electrical machine, such as an induction motor, enabling motion of the rotor.