Open market operations are when the Fed buys or sells
A)government securities from the government.
B)corporate securities from banks or some other business.
C)government securities from banks or some other business.
D)corporate securities from the government.
E)gold.

Question

Quizplus · Accepted Answer

Open market operations involve the buying and selling of government securities, typically Treasury bonds, from banks or other financial institutions. This allows the Fed to influence the supply and demand of money in the economy by adjusting the reserves of these financial institutions.

Open Market Operations Are When the Fed Buys or Sells