Firms that participate in regular open market transactions with ________ are called primary dealers.
A)commercial banks
B)Treasury banks
C)the Federal Reserve
D)mortgage lenders

Question

Quizplus · Accepted Answer

Primary dealers are firms that participate in regular open market transactions with the Federal Reserve. They are authorized to trade in U.S. government securities directly with the Federal Reserve Bank of New York, and are expected to make active markets for the securities they trade.

Firms That Participate in Regular Open Market Transactions with ________