Assume that the Treasury experiences a large decrease in the budget deficit and purchases a large number of T-bills. This action will ____ the supply of T-bills in the market and place ____ pressure on the yield of T-bills.
A) decrease; downward
B) decrease; upward
C) increase; upward
D) increase; downward

Question

Quizplus · Accepted Answer

The Answer of Assume that the Treasury experiences a large decrease in the budget deficit and purchases a large number of T-bills. This action will ____ the supply of T-bills in the market and place ____ pressure on the yield of T-bills.
A) decrease; downward
B) decrease; upward
C) increase; upward
D) increase; downward

Assume That the Treasury Experiences a Large Decrease in the Budget