Ask Question
BusinessBusiness
10 October, 02:03

What happens when the Federal reserve buys a treasury bond

+1
Answers (1)
  1. 10 October, 02:20
    0
    If the Federal Reserve buys bonds in the open market, it increases the money supply in the economy by swapping out bonds in exchange for cash to the general public. Conversely, if the Federal Reserve sells bonds, it decreases the money supply by removing cash from the economy in exchange for bonds.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “What happens when the Federal reserve buys a treasury bond ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Ducheyne Electric recently declared a 15 percent stock dividend. On the date of the stock dividend Ducheyne had 16 million shares outstanding priced at $46 per share in the market.
Answers (1)
A check of $300,000, deposited by a company, was returned to the bank for nonsufficient funds. How would this information be included on the bank reconciliation?
Answers (1)
Shannon owns 10,000 shares (10 percent) of the 100,000 outstanding shares of Greenwhite Corporation. If Greenwhite Corporation declares a dividend of 20 percent, Shannon will receive 2,000 shares.
Answers (1)
Which of the following is an example of shadowing? Select one: a. Two new recruits working on an automobile's rear axle b. Three young interns practicing under the guidance of an experienced surgeon c.
Answers (1)
cynthia is interested investing in clothing unlimited inc. which attribute from stock quote can cynthia use to determine how the stock has performed over the past yr?
Answers (1)
New Questions in Business
Fuqua Company's sales budget projects unit sales of part 198Z of 10,100 units in January, 12,600 units in February, and 13,700 units in March. Each unit of part 198Z requires 3 pounds of materials, which cost $4 per pound.
Answers (1)
Strawberry Fields purchased a tractor at a cost of $39,000 and sold it two years later for $25,300. Strawberry Fields recorded depreciation using the straight-line method, a five-year service life, and an $7,000 residual value. Required: 1.
Answers (2)
2. Buckeye Industries has a bond issue with a face value of $1000. The value of Buckeye's asset is $1200. In one year they will be worth either $800 or $1400. The going rate on T-bill is 4 percent.
Answers (1)
What are we willing and able to buy
Answers (1)
The account cash overage is which type of account? an asset account a liability account a miscellaneous revenue account a miscellaneous expense account
Answers (1)
Home » Business » What happens when the Federal reserve buys a treasury bond
Sign Up Forgot Password?