If the Federal Reserve System wanted to increase the money supply,it would most likely take which action first?
A) Raise the reserve requirement
B) Buy securities on the open market
C) Print more money
D) Lower the discount rate
E) Reduce credit controls

Question

Quizplus · Accepted Answer

The purchase or sale of investments by the Fed is the most commonly employed of all operations.The Fed will most likely buy securities to increase the supply of money in the economy,and,ideally,fuel economic growth.

If the Federal Reserve System Wanted to Increase the Money