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When resources are scarce, the Fed can decrease the federal funds rate by modest ___________ of treasury securities in the open market. When reserves are
When resources are scarce, the Fed can decrease the federal funds rate by modest ___________ of treasury securities in the open market. When reserves are superabundant, the Fed can decrease the federal funds rate by ___________ the interest rate on excess reserves.
a) purchases; increasing
b) sales; decreasing
c) purchases; decreasing
d) sales; increasing
Choose a, b, c, or d
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