If the head of the Central Bank of Brazil wanted to increase the supply of money in Brazil in 2015, which of the following would do it? A. Sell government securities in the open market. B. Decrease the required interest ratio. C. Lower the mortgage rate. D. Buy government securities in the open market. This action will A. increase credit availability and raise the money supply. B. lower consumer confidence and incomes. C. reduce credit availability and lower the money supply. D. lower consumer spending and interest rates.

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
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If the head of the Central Bank of Brazil wanted to increase the supply of money in Brazil in 2015, which of the following would do it?
A. Sell government securities in the open market.
B. Decrease the required interest ratio.
C. Lower the mortgage rate.
D. Buy government securities in the open market.
This action will
A. increase credit availability and raise the money supply.
B. lower consumer confidence and incomes.
C. reduce credit availability and lower the money supply.
O D. lower consumer spending and interest rates.
Transcribed Image Text:If the head of the Central Bank of Brazil wanted to increase the supply of money in Brazil in 2015, which of the following would do it? A. Sell government securities in the open market. B. Decrease the required interest ratio. C. Lower the mortgage rate. D. Buy government securities in the open market. This action will A. increase credit availability and raise the money supply. B. lower consumer confidence and incomes. C. reduce credit availability and lower the money supply. O D. lower consumer spending and interest rates.
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