During an expansionary phase (inflationary-gap) of the business cycle, when policy makers want to cool off the economy and reduce inflation, a coordinated fiscal and monetary policy might do which of the following:

a)Run a deficit and increase the money supply.

b)Reduce government spending, increase taxes, increase the bank rate and/or sell government bonds on the open market.

c) Run a surplus and increase the money supply.

d) Increase government spending, reduce taxes, decrease the bank rate and/or buy government bonds on the open market.