Answer:
buying and selling bonds in open market operations
Step-by-step explanation:
During the recession, many people needs injection of money/capital since the purchasing power of the market and the job employment is really low . Under such situations, the Federal reserve will buy bonds from the businesses. The money received from the businesses will provide the businesses with enough capital to hire more workers and stimulate the economy.
The opposite happens during economic booms. Overheating economy could lead to high inflation that hurt's the nation's currency. To handle this, the Federal reserve will sell bonds to reduce the amount of money circulating int the market.