The quantity of securities held by the Federal Reserve is controlled through:

Question

Quizplus · Accepted Answer

The quantity of securities held by the Federal Reserve is controlled through open market operations. This involves the buying and selling of securities on the open market, which allows the Fed to adjust the money supply and influence interest rates. The other options listed, such as the U.S. Treasury, the Fed's annual budget, and purchases made by regional Reserve banks, do not directly control the quantity of securities held by the Fed.

The Quantity of Securities Held by the Federal Reserve Is