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In "open market operations" to __________ M1, the securities held by a commercial bank (or the public) are exchanged for "cash" from the Fed (the transfer of funds from the Fed to a bank)..A. reduceB.
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In "open market operations" to __________ M1, the securities held by a commercial bank (or the public) are exchanged for "cash" from the Fed (the transfer of funds from the Fed to a bank)..A. reduceB. restrainC. expandD. none of the above

User Refaelos
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Answer:

expand

Step-by-step explanation:

In "open market operations" to expand M1, the securities held by a commercial bank (or the public) are exchanged for "cash" from the Fed (the transfer of funds from the Fed to a bank.

The Fed buys securities from banks holding it, for money; so as to increase the supply of money in the economy.

User Cadrian
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