Which of the Following Is an Example of a Contractionary

question 121

Multiple Choice

Which of the following is an example of a contractionary monetary policy?

• A)Transfer payments to poor families are reduced.
• B)The Fed buys government securities in the open market.
• C)The discount rate is raised.
• D)The required reserve ratio is lowered.
• E)Anything the Fed does to shift the money supply to the right is a contractionary policy.

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Definitions:

Central Nervous System

is a fundamental part of the neurosystem comprising the brain and spinal cord, responsible for processing and sending out information throughout the body.

Spinal Cord

is a long, thin, tubular structure made up of nervous tissue that extends from the medulla oblongata in the brainstem to the lumbar region of the spinal column, crucial for transmitting messages between the brain and the body.

Somatic Nervous System

A part of the peripheral nervous system that handles voluntary control of body movements through the control of skeletal muscles.

Knee-Jerk Reflex

The knee-jerk reflex is a sudden kicking movement of the lower leg in response to a sharp tap on the patellar tendon.