When the Fed sells government securities in the open market, the ...

[@Brianna17]

When the Fed sells government securities in the open market, the money supply ________ because ________.
 
  A) decreases; banks lose liquidity, they make fewer loans and checking account deposits decrease
  B) increases; banks gain liquidity, they make more loans and checking account deposits increase
  C) increases; banks lose liquidity, they make more loans and checking account deposits increase
  D) decreases; banks gain liquidity, they make fewer loans and checking account deposits decrease
  E) none of the above

Question 2

Leisure includes all of the following except
 
  A) sleep.
  B) home yardwork.
  C) market work.
  D) recreational activities.

[Anna]

Answer to Question 1

A

Answer to Question 2

C

[@Brianna17]

Excellent

[bulacsom]

TYSM