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Mathematics

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If the Federal Reserve sells $40,000 in Treasury bonds to a bank at 5% interest, what is the immediate effect on the money supply?

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Aliwohaish12 Aliwohaish12

Today at 6:58 PM

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.

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marycarmen marycarmen

Today at 6:58 PM

decrease by $40,000----->apex

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