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Chako Chako
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Posts: 2948
8 years ago
An attempt by a central bank to alter the money supply by buying or selling domestic assets
A) will lead to a decrease in domestic employment and output.
B) will cause an offsetting change in aggregate demand.
C) will cause an offsetting change in foreign reserves and leave the domestic money supply unchanged.
D) will lead to a rise in domestic employment and output.
E) will leave both domestic money supply and foreign reserves unchanged.
Textbook 
International Economics: Theory and Policy

International Economics: Theory and Policy


Edition: 10th
Author:
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machukianmachukian
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Posts: 2946
8 years ago
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Chako Author
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8 years ago
Correct!
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8 years ago
Happy to help you!
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