question archive Open market operations work efficiently and effectively because these operations (a) are conducted through dealer firms, not banks (b) involve highly liquid and highly coveted US Treasury securities (c) change bank reserves and the money supply instantly (d) all of the above
Open market operations work efficiently and effectively because these operations (a) are conducted through dealer firms, not banks (b) involve highly liquid and highly coveted US Treasury securities (c) change bank reserves and the money supply instantly (d) all of the above
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Open market operations work efficiently and effectively because these operations
(a) are conducted through dealer firms, not banks
(b) involve highly liquid and highly coveted US Treasury securities
(c) change bank reserves and the money supply instantly
(d) all of the above
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Open market operations work efficiently and effectively because these operations (b) involve high liquid and high US treasury securities.
Having high liquidity means that it is easy to transform assets to cash, this way, a firm can get rid of property or machinery that it has in plenty to get some money that can be channeled to other investments.
The presence oh coveted US treasury securities act as an attraction point, whereby most people would want to invest in them when placed in open market operations.
