If the actual interest rate is 6% and the target rate is 4%, the Fed should sell Treasury bills.

Name: If the actual interest rate is 6% and the target rate is 4%, the Fed should sell Treasury bills.
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If the actual interest rate is higher than the target rate, the Fed should buy Treasury bills to increase the money supply and decrease interest rates. Selling Treasury bills would have the opposite effect, potentially raising interest rates further.

If the Actual Interest Rate Is 6% and the Target