During the course of a bad recession the Fed would probably be doing each of the following,except

Question

Quizplus · Accepted Answer

During a bad recession, the Fed would typically be buying securities on the open market to increase the money supply and stimulate the economy. Selling securities on the open market would have the opposite effect and would not be a typical action taken by the Fed during a recession. Lowering interest rates, reserve requirements, and the discount rate are all actions the Fed would typically take during a recession to encourage banks to lend and stimulate economic growth.

During the Course of a Bad Recession the Fed Would