Assume the economy is undergoing a recession. In its efforts to stimulate the economy by trying to influence short-term interest rates the Fed is most likely to take which two actions（）
A. Sell Treasury securities and increase bank reserve requirements.
B. Buy Treasury securities and decrease bank reserve requirements.
C. Buy Treasury securities and increase bank reserve requirements.
参考答案：B
解析：
If the economy is in a recession, the Fed is likely to attempt to decrease short-term interest rates. If the Fed buys Treasury securities it will inject funds into the economy, which increases the supply of money, in turn decreasing interest rates. Similarly, if the Fed eases bank reserve requirements, more funds will be available for lending, which again will likely decrease interest rates.
