celliCarKell3o
celliCarKell3o celliCarKell3o
  • 23-12-2016
  • History
contestada

If the United States falls into a recession, which action would the Federal Reserve take to encourage employment?

Respuesta :

ferrettiusa
ferrettiusa ferrettiusa
  • 24-12-2016
Hello!

The options are: 

A. Buy government securities
B. Increase reserve requirements
C. Raise federal funds and prime rates
D. Sell government securities.

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The correct answer is buy government securities, because there will be the injection of state money into the economy, expanding the demand for production and requiring more staff in service.
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