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Answer to Question #123779 in Macroeconomics for Ingrid

Question #123779
Which one of the following statements is correct?
A. A decrease in the repo rate restrains the money creation process.
B. The SARB can withdraw money from circulation by buying bonds in the secondary market.
C. Expansionary monetary policy shifts the money supply curve to the left.
D. An increase in the repo rate restrains the money creation process.
1
Expert's answer
2020-06-24T15:58:45-0400

Option B

The SARB can withdraw money from circulation by buying bonds in the secondary market. 


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