Economics · Money and Banking
Arrange the following statements relating to open market operations (purchase) in the correct sequence. (A) Thereby resulting in an increase in money supply (B) Central bank pays for it by giving a cheque (C) Central bank buys a government bond in the open market (D) This increases the total amount of reserves in the economy Choose the correct answer from the options given below:
- 1(C), (B), (D), (A)✓
- 2(D), (C), (B), (A)
- 3(B), (A), (C), (D)
- 4(A), (B), (C), (D)
Correct answer
(C), (B), (D), (A)
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