A country's central bank buys government securities from the private sector.
- (a)What is the most likely effect on long-term interest rates and the money supply? long-term interest rates | money supply --- | --- A decrease | decrease B decrease | increase C increase | decrease D increase | increase[1]
Mark scheme
Marking points from the official mark scheme (May/June 2020). The mark or mark type is shown in brackets.
- [1] B
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