Which of the following statements about open market operations is true? Central bank purchases of government bonds increase the level of government debt. Central bank purchases of government bonds decrease the level of government debt. Central bank purchases of government bonds do not alter the level of government debt. Central banks are not allowed to buy or sell in the secondary market for government bonds.

Which of the following statements about open market operations is true? Central bank purchases of government bonds increase the level of government debt. Central bank purchases of government bonds decrease the level of government debt. Central bank purchases of government bonds do not alter the level of government debt. Central banks are not allowed to buy or sell in the secondary market for government bonds.

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter17: Federal Deficits, Surpluses, And The National Debt

Section: Chapter Questions

Problem 8SQ

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Why most central banks no longer buy public debt in the primary market?
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