What tool does the Federal Reserve use to influence the volume of money in the economy by buying and selling government securities?

A.
personal income tax
B.
reserve requirement
C.
loose-money policy
D.
open-market operations

Respuesta :

I believe the answer is D

For influencing the volume of the money by buying and selling government securities is Open market operations Option(d) is the correct answer.

What are Open market operations?

The open market operations are known to be as the operations which involves the sales and the purchase of the given amount of the securities in market by central bank.

Open market operations is that tool of the federal reserves which helps in influencing the overall money flow in selling and buying securities.

Therefore Option(d) is correct.

Learn more about Open market securities here:

brainly.com/question/2396693

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