Advanced Placement (AP), 21.05.2021 18:50 reginaldlegette

- Which of the following results when the Federal Reserve sells bonds to commercial banks?
(A) The total assets held by commercial banks
will eventually increase.
(B) The money supply decreases.
(C) The discount rate increases.
(D) The public increases its cash holdings.
(E) The required reserve ratio increases because
of decreasing excess reserves.

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- Which of the following results when the Federal Reserve sells bonds to commercial banks?
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