6. Suppose that a change in transaction technology reduces the amount of currency people want to hold
Question:
6. Suppose that a change in transaction technology reduces the amount of currency people want to hold relative to demand deposits. If the Fed does nothing, the money supply tends to . But the Fed can hold the money supply constant by bonds in openmarket operations.
a. increase, buying
b. increase, selling
c. decrease, buying
d. decrease, selling
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Related Book For
Question Posted: