Conducts monetary policy, The FR Bank conducts monetary

Conducts monetary policy

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The FR Bank conducts monetary policy and then finds out that the monetary base MB increased by $500. Then the policy that led to this outcome must be

Answer

Sold $1000 worth of securities to the non-bank public

Bought $1000 worth of securities to the non-bank public

Sold $500 worth of securities to a commercial bank

Bought $500 worth of securities from a commercial bank

Reference no: EM131392127

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