If the Fed acts to increase the money supply,
A) it will sell bonds, drive bond prices up, and drive interest rates down.
B) it will buy bonds, drive bond prices down, and drive interest rates down.
C) it will sell bonds, drive bond prices up, and drive interest rates up.
D) it will buy bonds, drive bond prices up, and drive interest rates down.
Ans: D) it will buy bonds, drive bond prices up, and drive interest rates down.
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Which of the following sets of categories correctly describes the categories of nonconsumption injections?
A) foreign imports, private domestic investment, government transfer payments B) capital consumption allowances, government transfer payments, net exports C) net exports, inventory accumulation, government transfer payments D) government purchases of goods and services, net exports, private domestic investment
The additional revenue a firm obtains when it hires an additional worker (holding other inputs constant) is the
A) marginal revenue product (MRP) of labor. B) total factor cost (TFC) per worker. C) general rule for hiring. D) marginal physical product (MPP) of labor.
A consumer will consume the combination of goods at the crossing point of a budget line and indifference curve
a. True b. False Indicate whether the statement is true or false
Variations in the standard of living across countries is due almost entirely to differences in each nation's total output of goods and services
a. True b. False Indicate whether the statement is true or false