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AP Macroeconomics
Unit 4 – Financial Sector
Topic 4.5
When the Federal Reserve buys bonds in an open market operation, what happens in the money market?
The supply of money increases
The demand for money increases
The demand for money decreases
The supply of money decreases
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AP Macroeconomics - 4.5 The Money Market
Key terms
Bonds
Federal Reserve
Money Market
Open Market Operation
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About Fiveable
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Terms of Use
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CCPA Privacy Policy
Resources
Cram Mode
AP Score Calculators
Study Guides
Practice Quizzes
Glossary
Crisis Text Line
Request a Feature
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© 2024 Fiveable Inc. All rights reserved.
AP® and SAT® are trademarks registered by the College Board, which is not affiliated with, and does not endorse this website.
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