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-Assume an Original Balance Sheet: Refer to Table 14

Question 87

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-Assume an original balance sheet: Refer to Table 14.2.If the Fed sells $20 billion in bonds to the public,all of the following are true except A) The public will hold $495 billion worth of bonds. B) M1 will decrease initially by $20 billion. C) M2 will expand initially by $20 billion.
-Assume an original balance sheet: Refer to Table 14.2.If the Fed sells $20 billion in bonds to the public,all of the following are true except


A) The public will hold $495 billion worth of bonds.
B) M1 will decrease initially by $20 billion.
C) M2 will expand initially by $20 billion.

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