asked 119k views
4 votes
The Federal Reserve increases the money supply when it is trying to encourage the economy to

A. Grow
B. Shrink

2 Answers

1 vote

Answer: grow, lower, a decrease,

Step-by-step explanation:

answered
User Akiko
by
8.6k points
1 vote
economy to grow

It is called an expansionary fiscal policy. The government often reduce reduce taxation and buy off treasury bond to ensure that banks have more money to lend, and people have more money to invest.
answered
User PRVS
by
8.4k points

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