You are Chair of the Federal Reserve Board. In your meeting with the Federal Open Market Committee, the committee unanimously votes to increase the money supply using open market operations (OMOs). During the press conference after the meeting, a reporter asks you to explain what OMOs are and how you will use them to increase the money supply. You reply that:

a. OMOs are the selling and buying of government securities. The money supply increases when purchasing occurs and contracts when selling occurs. OMOs work by changing the amount of excess reserves available in the banking system.
b. OMOs alter the reserve requirement up or down. The money supply will increase when we use OMOs to decrease the reserve requirement.
c. Open market operations refer to manipulating the rate at which the Federal Reserve Bank (Fed) loans money to member banks. An increase in the money supply occurs when the Fed increases this rate, which decreases the amount of required reserves in the banking system.
d. OMOs are the selling and buying of government securities. The money supply increases when selling occurs and contracts when buying occurs. OMOs work by changing the amount of excess reserves available in the banking system.

Answers

Answer 1

Answer:

a. OMOs are the selling and buying of government securities. The money supply increases when purchasing occurs and contracts when selling occurs. OMOs work by changing the amount of excess reserves available in the banking system.

Explanation:

OMOs are open market operations and refer to the purchase and sale of government securities by the Federal Reserve Bank (Fed) in an effort to change the money supply. If the Fed wants to increase the money supply, it will purchase government securities. The Fed buys the securities and pays for them by increasing the selling banks' reserves in their account at the Fed. The increase in reserves will increase the amount of excess reserves in the banking system and fuel deposit expansion, assuming the bank wishes to keep excess reserves at a minimum.

Answer 2
The answer to your question should be A.

Related Questions

Table 1 shows the financial position of Bank Uno once $ 4691.00 has been deposited.

Assume that the required reserve ratio is 7.00 %, that banks do not keep excess reserves, and that all the money loaned out from Bank Uno is deposited into Bank Duo (whose loans go to other banks not shown here).

Once the lending and depositing process is complete, what will the accounts look like in Tables 2 and 3? Specify all answers to two decimal places.

What are Bank Uno's deposits in Table 2?
$___________
What are Bank Uno's reserves in Table 2?
$___________
What are Bank Duo's loans in Table 3?
$___________
What are Bank Uno's loans in Table 2?
$___________

Answers

What are Bank Uno's deposits in Table 2? - $4691 (deposits)

What are Bank Uno's reserves in Table 2? - $328.37 (4691 x 7%)

What are Bank Duo's loans in Table 3? - $4057.25 (4362.85 x 93%)

What are Bank Uno's loans in Table 2? - $4362.85 (4691 - 328.37)

Loans made by a bank do not affect the money that the bank owes to its depositors (the liabilities side of the T‑account), so its deposits in Table 2 remains $4691.00. Assuming that banks do not keep any excess reserves, Bank Uno will only keep 7.00% of its deposits and loan out 93.00%. This means it keeps reserves of $328.37 and makes loans of the remaining $4362.63 .

When the $4362.63 gets deposited into Bank Duo, the bank similarly keeps 7.00 % and loans the remaining $4057.25 . Note that each of these series of deposits and loans increases the money supply by a smaller and smaller amount. Eventually, when this process completes, the money supply will be increased by a factor of 14.29 (assuming that all loans get redeposited and no bank keeps more than the minimum reserves; otherwise, it will increase by a smaller factor). How is this money multiplier calculated?

money multiplier = 1 / required reserve ratio = 1 / 7.00% = 14.29

Where do social inequality come from?

Answers

Answer:

Social inequality results from a society organized by hierarchies of class, race, and gender that unequally distributes access to resources and rights.

why is it important to protect people whose rights have been violated ?

Answers

Answer:

Because the bible says We the People which means us.

Explanation:

Hope it Helps

Is this statement true or false?

At the beginning of the war, most Union and Confederate soldiers believed the war would be quick and glorious

Answers

True, both sides underestimated each other's willpower of their population.

agrument on should free speech be regulated on social media​

Answers

Answer:

8Chan was the freespeech version of 4chan, it raised toxic bigots and cuased a guy to shoot a mosque killing like 60 people in new zealend.

Explanation:

HELP MY GRADE IS AN F AND I NEED TO GET IT UP FAST!At the end of an investigation, a student writes, “Plants watered with the boiling water grew little. However, plants watered with warm water grew larger over the same period. Therefore, boiling water decreases plant growth.”

What part of scientific investigation is this?


evidence and logical reasoning

hypothesis and observation

question and experiment

evaluation and critique

Answers

Answer:

B

evidence and logical reasoning

Explanation:

Answer:evidence and logical reasoning

Explanation:

Which of the following was permitted by the Articles of Confederation but denied by the United States
Constitution?

Answers

States are denied certain powers under the Articles of Confederation. States may not send ambassadors to foreign countries, receive foreign ambassadors, or make any kind of arrangement, meeting or treaty with any king, prince or state. Not any person or state may accept any gift, including titles of nobility, from a foreign state.

What was one good thing to come out of the Articles of Confederation?
Select one:

a. The Northwest Ordinance of 1787.

b. The ability to raise and maintain an army.

c. The creation of a Presidency.

d. The creation of a federal court system.

Answers

Answer:

B.) The ability to raise and maintain an army.



The primary advantage that the Articles of Confederation provided was its ability to maintain the independence and sovereignty of each state within the union. The states could use these articles to band together to send ambassadors to other nations overseas, and handle territory issues








Explanation:

Have a great rest of your day
#TheWizzer

Why were Jim Crow laws implemented in the South?
A)White southern leaders wanted to provoke a new civil war to form their own country.
B)White southern leaders did not believe in political or social equality for African Americans.
C)White southern leaders believed the laws would promote political unity across the South.
D)White southern leaders thought that the laws were the best way to revive the southern economy.

Answers

Answer:

B

Explanation:

If this helped pls give brainlyest

Follow these steps.
1. Circle three details in
the image. Each one
should be a clue about
each of the three
topics above.
2. Near each detail you
circled, write a note
explaining what it
tells about the topic.
3. Draw a line from
each detail to its note.

Answers

The second one is gonna be your answer

What procedure did you use to complete the lab? Outline the steps of the procedure in full sentences. weather patterns

Answers

Procedures that needs to be considered to complete the lab are- a thorough knowledge of lab assignments, knowledge about safety equipment,  reviewing the MSDS of chemicals for lab experiment etc.Explanation:To be lab prepared one must follow these procedures-1. One should have the knowledge of lab assignments to make the lab experiment easier.2. To be aware about safety equipment and their uses in lab, like- the location of fire extinguisher in lab.3. To know the steps of experiments to be performed4. To fill notebook of lab with information regarding the experiment5. One should review the data sheets of chemicals material safety.6. To put on all the necessary dressings to perform experiment.7. To have complete understanding about the experiment disposals.

Answer:

Procedures that needs to be considered to complete the lab are- a thorough knowledge of lab assignments, knowledge about safety equipment,  reviewing the MSDS of chemicals for lab experiment etc.Explanation:To be lab prepared one must follow these procedures-1. One should have the knowledge of lab assignments to make the lab experiment easier.2. To be aware about safety equipment and their uses in lab, like- the location of fire extinguisher in lab.3. To know the steps of experiments to be performed4. To fill notebook of lab with information regarding the experiment5. One should review the data sheets of chemicals material safety.6. To put on all the necessary dressings to perform experiment.7. To have complete understanding about the experiment disposals.

Explanation:

you welcome

Wind is a renewable energy resource and there are no fuel costs.


T OR F


NO LINKS

Answers

Answer:

I think it's T

because it's a renewable energy resources indeed.

17) Prior to the Industrial Revolution, industry was
A) clustered.
B) concentrated.
C) dispersed.
D) randomly distributed.
E) located in colonies.

Answers

it’s B) Concentrated

Which of the following is not an important use of writing?

A) It allows information to be passed from generation to generation.
B) It allows information to be spread across great distances.
C) It enables people to read literature.
D) It helps people to speak more clearly.

Answers

Answer a bc its not relavant

Answer:

A) It allows information to be passed from generation to generation.

if it is not the second one it could be it

D) It helps people to speak more clearly.

Hope this Helps

18) The cottage industry system involved manufacturing
A) of hand-made luxury goods.
B) in the home
C) of steam engines.
D) in small factories.
E) cheeses and pastries.
19) The main source of power for steam engines and

Answers

Answer:

In the home.

Explanation:

Simply put, this allows homemade food to be exactly that, food made in the home that can be provided to customers.

WHOEVER ANSWERS THIS RIGHT GETS BRAINLIEST!!
Take a close look at this political cartoon by Benjamin Franklin. He created it to support the Albany Plan.

What does the slogan “Join, or Die” suggest?
Check all of the boxes that apply.

The colonies should work together.

The Iroquois Confederacy must ally with the British.

Britain needs to work with all of the Indigenous tribes.

The colonies cannot survive on their own.

Answers

Answer:

a and d

Explanation:

Comparing the costs in time and resources with the benefits is an important step in

implementing a program that has become law
reducing funding from a local or state budget
deciding whether to add a new public official
analyzing the effectiveness of a public policy

Answers

The comparison of costs in time and benefits from the resources is considered an important step in reducing funding by preparing a local or state budget.

What is a budget?

A budget is a forecasted plan of revenues and expenses. There are various types of budgets like master budget, material budget, expenses budget, etc.

Budgeting is the process that helps the government to reduce its spending and minimize costs with the creation of revenues. A budget enables them to identify where to spend more and where to spend less. It also helps in analyzing where to save money. It helps the government to allocate the funds in the right direction which could reduce the funding and increase the revenues.

Therefore, the reduction in funds can be done by having a planned budget which is an important step in comparing costs and having benefits.

Learn more about the budgeting in the related link:

https://brainly.com/question/18803390

#SPJ1

Answer:

Reducing funding from a local or state budget

Explanation:

Identify and describe three types of competition and give an example of each

Answers

The types of competition in sociology are pure and limited competition, absolute and relative competition, personal and impersonal competition and creative and non-creative competition.

What is competition, and what are some examples?

A rivalry occurs when two or more parties strive for a common goal that cannot be shared: one's gain is the other's loss.

Competition, like cooperation, occurs at the individual, group, and organizational levels. The personal competition includes people competing for affection, a promotion, or public office.

Thus, these are the types of Competition in Sociology.

To learn more about Competition refer:

https://brainly.com/question/26356446

#SPJ1

Help me practice 2 pleaseeeeeeee

Answers

Answer:

The transactions of the incredibly diseased world war 3.

Explanation:

Is this statement true or false?

During the Civil War tho North effectively used the stratogy of total war" to weakon the South

True

False​

Answers

the answer is deginlty true

The dictator who led the Soviet Union during the early years of the Cold War was__________.

a: Joseph Stalin
b: Lech Walesa
c: Mikhail Gorbachev
d: Boris Yeltsin

Answers

Answer:

a: Joseph Stalin

Explanation:

What are TWO major contributing factors to deforestation in Africa?
A. hazardous waste spills
B.
infrastructure projects
C.
commercial logging
D.
traffic congestion
E.
household dumping

Answers

Answer:

C. commercial logging and B. infrastructure projects

what are the 4 main structures of the senate?

Answers

I’ll give you all that I know

Censure.
Contested Senate Elections.
Declarations of War.
Expulsion.
Filibusters and Cloture.
Impeachment.
Investigations.
Nominations.

Why is Mexico a country?

Answers

Answer:

Mexico is a country of southern North America.

Explanation:

Mexico is for Latin Americans and it is very historical

what is not attribute of economy indication

Answers

Answer:

An economy indication is an economic statistic, such as the unemployment rate, GDP, or the inflation rate, which indicate how well the economy is doing and how well the economy is going to do in the future.

Key takeaways:

An economic indicator is a macroeconomic measurement used by analysts to understand current and future economic activity and opportunity.

The most widely-used economic indicators come from data released by the government and non-profit organizations or universities.

Indicators can be leading—which tend to precede trends, lagging—which confirm trends, or coincident—that which is happening now.

So, think about what isn't important information. What data don't you need? Do you need to know the avg income of the city or state etc.? The population? The percent of female or male? Birthrate? Think about it

I hope this helped

What is the benefit in reaching the absolute advantage in the production of one good?
to produce more units of a good than other countries
• to produce fewer units of a good than other countries
® to produce more units of a good while usina fewer resources
® to produce fewer units of a good while using fewer resources

Answers

® to produce more units of a good while using fewer resources

Which of the following countries is least likely to hold free and legitimate elections by its citizens, based on this map?

Mexico
Belarus
Tanzania
Columbia

Answers

Belarus is least likely to hold free and legitimate elections by its citizens based on the map.

Belarus is least likely to hold free and legitimate elections by its citizens, based on this map.

What is Belarus?

Eastern European country of Belarus, officially known as the Republic of Belarus, is a landlocked country.

In the northwest, it borders Lithuania and Latvia; in the south, Ukraine; in the west, Poland; and in the east and northeast, Russia.

Belarus is the 20th-most populous and 13th-largest country in Europe, with a population of 9.3 million and an area of 207,600 square kilometers (80,200 square miles).

The entire country is divided into seven administrative regions. Minsk is the nation's capital and largest city.

What is Election?

A formal process of communal decision-making, an election is how a population choose a person or people to hold public office.

Since the 17th century, elections have been the primary method used to carry out representative democracy in modern times.

Elections may be held to fill legislative, occasionally executive, occasionally judicial, and occasionally regional and municipal positions.

Numerous other private and commercial organizations, including clubs, nonprofit organizations, and corporations, also use this procedure.

Hence, option B is correct.

To learn more about Belarus here

https://brainly.com/question/1827448

#SPJ2

Which profession gets paid with tax money?

A) public school teachers
B) bankers
C) lawyers

Answers

Answer:

A.

Explanation:

They are doing a public job for that county.

Answer:

a) public school teachers

Explanation:

public school teachers are paid with tax money because they are 'public servants' and the government pays them to directly serve the community.

why is pluto not a planet anymore.

Answers

Answer:

People have opinions or don't teach it

Explanation:

Yes, pluto is a planet. But many people have decided not to teach about it or just forget since it is as small as Kim Jong Un's pp

Answer:

pluto is now classified as a dwarf planet , because , while it is enough to have become spherical, it is not big enough to exert its orbital dominance and clear the neighborhood sounding its orbit

How can knowing the opportunity cost help you make a better decision

Answers

Answer:

Explanation:

With the opportunity cost, you will consider the fact that when you make a choice, you have to sacrifice other options. This helps make more economically accurate decisions that maximize your resources.

Other Questions
i need help please...... only question 5 parts a and b PLEASE HELP!! How to determine anode and cathode in galvanic cell. Which of the following is NOT is heart-healthy menu choice? low-fat deli sandwiches on wheat bread whole grain bagel with turkey whole wheat tortilla breakfast croissant How did Napoleon's invasion and occupation of Spain affect the Spanish colonies in South America? 2. Which expression is equivalent to 3x - (2x+4)+5?b. x+9c. 5x+9d. 5x+1 3. Which website did you use to find the image you used in your career presentation? Complete sentences are not necessary. (2.0 points)Needed ASAP The three best-known dramatists who wrote greek tragedies were aeschylus, euripides, and. Help please! Will mark as brainliest! Please no links. A particular .55 m solution contains 1.7 g of salt what mass would be present in the same volume of a 3.20 m solution I do not know how to do this! Please help me!This figure is made of part of a circle and part of a square. What are the perimeter and the area of the figure? Use paper if it helps you with your thinking. Ahmad Couture has bonds outstanding with a face value of $1,000, 11 years to maturity, and a coupon rate of 6 percent paid semiannually. What is the company's pretax cost of debt if the bonds currently sell for $1,067.12 More recently, how are fishermen exploring life at sea? Help me balance ittt The underlined word in each sentence has a denotation similar to honest. Which word has the most negative connotation? Base your answer on context.A.You could tell from their smiles that the partners had genuine respect for one another.B.Ira and I had a frank conversation about how much money he could lend me.C.Tamra was too blunt in her reaction to her friend's performance.D.When asked who forgot to take out the garbage, Ute was truthful. Which of these sentencesfrom the Sample PersuasiveEssay Conclusion addressescounter points?A. Many Americans question whether solarenergy should be used as a renewableenergy source...B. Solar energy is the best way to getelectricity for America because it has themost benefits....C. While some argue solar energy isexpensive to install, it saves large sums ofmoney... Find the product write the product as a whole number or a mixed number 3/10 x 65 In this box-and-whisker plot, what is the minimum value of the data?48535668 Why is the internet more useful to hate groups than newspapers, radio, and television? According to the video, what are some challenges faced by Advertising and Promotions Managers? Check all that applyangry customerscost of adslong hoursstressful deadlines