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Both in present times and in the past, the Fed has used three tools to influence the money supply. Sort the below Fed actions into
Both in present times and in the past, the Fed has used three tools to influence the money supply. Sort the below Fed actions into the following: increase the money supply (Increase), decrease the money supply (Decrease), or not a tool available to the Fed (Not a tool). Items (6 items) (Drag and drop into the appropriate area below) The Fed authorizes a one-time tax rebate of $1,000.The Fed sells $200 million in mortgage-backed securities.The Fed reduces the ratio of deposits banks must hold on reserve.The Fed sells $300 million in long-term Treasury securities.The Fed raises the interest rate charged on loans to banks.The Fed buys $100 million in short-term Treasury securities
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