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Author Question: When the Federal Open Market Committee buys government securities: a. the reserve requirement of ... (Read 94 times)

meagbuch

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  • Posts: 568
on: Jun 30, 2018
When the Federal Open Market Committee buys government securities:
 a. the reserve requirement of banks decrease.
  b. the reserve deposits of banks decrease.
  c. the excess reserves of banks increase.
  d. the federal funds rate increases.
  e. the legal reserves of banks decrease.

Question 2

Both price and quantity will increase when there is a(n)
 a. increase in demand.
  b. decrease in demand.
  c. increase in supply
 d. decrease in supply.


cswans24

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  • Posts: 317
Reply #1 on: Jun 30, 2018
Answer to Question 1

c

Answer to Question 2

a


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