If the Fed sells government bonds, bank reserves will _______, leading to a(n)_______ in the money supply.

Name: If the Fed sells government bonds, bank reserves will _______, leading to a(n)_______ in the money supply.
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When the Fed sells government bonds, bank reserves decrease, which in turn reduces the amount of money that banks can lend out. This leads to a decrease in the money supply.

If the Fed Sells Government Bonds, Bank Reserves Will _______