A banking innovation has made it easier for people in Hamsterville to convert their assets into money. As a result, the demand for money has decreased, and this has changed the nominal interest rate. If the central bank wants to counteract this change, which of the following is an appropriate open market operation to achieve that? Choose 1 answer: Choose 1 answer: (Choice A) Lower the discount rate. A Lower the discount rate. (Choice B) Sell bonds. B Sell bonds. (Choice C) Decrease taxes. C Decrease taxes. (Choice D) Increase the reserve requirement. D Increase the reserve requirement. (Choice E) Buy bonds. E Buy bonds.Mance wants to borrow money, but he doesn't want to pay more than \[11\%\] real interest per year. He expects the annual rate of inflation to be \[3\%\] each year during the life of the loan. Based on this information, what is the highest nominal interest that he will be willing to pay? Choose 1 answer: Choose 1 answer: (Choice A) \[3\%\] A \[3\%\] (Choice B) \[11\%\] B \[11\%\] (Choice C) \[8\%\] C \[8\%\] (Choice D) \[14\%\] D \[14\%\] (Choice E) This cannot be determined without more information E This cannot be determined without more information