A Currency Drain Is

question 50

Multiple Choice

A currency drain is

• A)an increase in currency held outside banks.
• B)when the Fed buys securities,but it is not when the Fed sells securities.
• C)when the Fed sells securities,but it is not when the Fed buys securities.
• D)when the Fed either buys or sells securities.
• E)when the Fed raises the required reserve ratio.

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