Econ Macro (book Only)
6th Edition
ISBN: 9781337408745
Author: William A. McEachern
Publisher: Cengage Learning
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Question
Chapter 15, Problem 10P
To determine
Difference between ordinary open market purchases and quantitative easing.
Introduction:
Open market purchase refers to the sale and purchase of the government securities by the central bank.
Quantitative easing refers to the purchase of government securities by the central bank with motive of increasing the money supply and decreasing the interest rate.
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