1. Business
  2. Economics
  3. the feds purchase of us government securities constitutes an select...

Question: the feds purchase of us government securities constitutes an select...

Question details

The Fed's purchase of U.S. government securities constitutes a(n) Select one: a. expansionary policy because it raises the amount of total reserves in the banking system b. expansionary policy because it raises the amount of required reserves in the banking system c. expansionary policy because it lowers the amount of total reserves in the banking system d. contractionary policy because it lowers the amount of total reserves in the banking system e. contractionary policy because it lowers the amount of excess reserves in the banking system

Solution by an expert tutor
Blurred Solution
This question has been solved
Subscribe to see this solution