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valputin valputin
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8 years ago
The finance of government spending through a Treasury sale of bonds which are then purchased by the Fed
A) has no net effect on the monetary base.
B) causes both reserves and the monetary base to decline.
C) causes reserves to rise, but the monetary base to decline.
D) causes both reserves and the monetary base to rise.
Textbook 
The Economics of Money, Banking and Financial Markets, Business School Edition

The Economics of Money, Banking and Financial Markets, Business School Edition


Edition: 4th
Author:
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Our course uses > The Economics of Money, Banking and Financial Markets
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MeelaMeela
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8 years ago
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valputin Author
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#2
8 years ago
Correct
Our course uses > The Economics of Money, Banking and Financial Markets
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#3
8 years ago
Great! Happy to be right Face with Stuck-out Tongue
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