Business
Business, 19.10.2020 01:01, asianpatriot7375

A central bank would like to increase the money supply in the country. It achieves this by buying treasury securities from investors who had purchased
them earlier. Investors who sell their securities now have more money on
hand to invest in businesses.
This action best illustrates the central bank's use of which tool of monetary
policy?
A. Open market operations
B. Reserve requirements
C. Discount rate
D. Interest on reserves

answer
Answers: 2

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