When the Fed sells bonds, bank reserves increase.

a. true
b. false


b. false

Economics

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One of the benefits of money as a medium of exchange is that

A) it allows individuals to compare the relative value of goods. B) it allows for specialization that leads to economic efficiencies. C) over time it will become more valuable so that individuals can purchase more goods and services. D) it allows for private transactions such as trading vegetables for medical services.

Economics

A bank's excess reserves are the fraction of a bank's deposits held at the Federal Reserve

Indicate whether the statement is true or false

Economics

When individuals increase their personal wealth through production and exchange, they

What will be an ideal response?

Economics

Which of the following is not an obstacle to development?

A. Overpopulation B. Excessive investment C. Political instability D. Corruption

Economics