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The Federal Reserve Bank can buy and sell these bonds to raise or lower bank deposits.

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Q: What best explains why treasury bonds have an effect on the size of the money supply?
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What of the following best explains why treasury bonds have an effect on the size of the money supply?

The Federal Reserve Bank can buy and sell these bonds to raise or lower bank deposits. APEX


What of the best following best explains why treasury bonds have an effect on the size of the money supply?

The Federal Reserve Bank can buy and sell these bonds to raise or lower bank deposits. APEX


How can Treasury bonds can have an effect on the size of the money supply?

The Federal Reserve Bank can buy and sell Treasury bonds to raise or lower bank deposits


What describes the most likely effect of the sale of a new batch of Treasury bonds?

a decrease in the money supply


The fed buys 5 billion worth of treasury bonds on the open market what effect does this have on the money supply?

The Fed sells $5 billion worth of Treasury bonds on the open market.


Which of the following describes the most likely effect of the sale of a new batch of Treasury bonds?

A decrease in the money supply


What explains why the money supply is increased when the Feds buy treasury bonds?

When the Fed buys Treasury bonds, it increases the amount of deposits in people's bank accounts.The purchase of bonds increases the amount of deposits in people's bank accounts, which enables banks to loan more money


What best explains why the money supply is increased when the feds buys treasury bonds?

When the Fed buys Treasury bonds, it increases the amount of deposits in people's bank accounts.The purchase of bonds increases the amount of deposits in people's bank accounts, which enables banks to loan more money


What best explains why the money supply is increases when the feds buys treasury bonds?

When the Fed buys Treasury bonds, it increases the amount of deposits in people's bank accounts.The purchase of bonds increases the amount of deposits in people's bank accounts, which enables banks to loan more money


What best explains why the money supply increases when the fed buys treasury bonds?

When the Fed buys Treasury bonds, it increases the amount of deposits in people's bank accounts. The purchase of bonds increases the amount of deposits in people's bank accounts, which enables banks to loan more money


If the federal reserve sells 40 000 in treasury bonds to a bank with 5 interest what is the immediate effect on the money supply?

If the federal reserve sells $40,000 in treasury bonds to a bank with 5% interest the immediate effect on the money supply is an decrease of $40,000.


What best explains why the money supply is increased when the Fed buys Treasury bonds?

When the Fed buys Treasury bonds, it increases the amount of deposits in people's bank accounts.The purchase of bonds increases the amount of deposits in people's bank accounts, which enables banks to loan more money