During the Christmas holiday season, the Fed increases the supply of currency to:

Question

Quizplus · Accepted Answer

During the Christmas holiday season, there is an increase in demand for cash withdrawals from banks due to the increase in shopping and gift-giving. To meet this demand, the Fed increases the supply of currency, ensuring that banks have enough cash on hand to meet the demand of their customers. This helps prevent banks from running out of cash and causing panic or disruptions in the economy.

During the Christmas Holiday Season, the Fed Increases the Supply