A central bank that desires to reduce the quantity of money in the economy can:
A. raise the reserve requirement.
B. buy bonds in open market operations.
C. lower the discount rate.
D. engage in quantitative easing.
Answer:A
A central bank that desires to reduce the quantity of money in the economy can:
A. raise the reserve requirement. B. buy bonds in open market operations. C. lower the discount rate. D. engage in quantitative easing.
Explanation: Type: Multiple Choice