Why does the open economy effect occur

History

2 answers:

Tomtit [17]2 years ago

7 0

Answer:

allows open economy effects.

Explanation:

spend more and even less than what is being earned through the output. of goods and other services.

elena-s [515]2 years ago

4 0

Answer:

The open market operations conducted by the Federal Reserve affect the money supply of an economy through the buying and selling of government securities.

Explanation:

government securities on the open market, it increases the reserves of commercial banks and allows them to increase their loans and investments; increases the price of government securities and effectively reduces their interest rates; and decreases overall interest rates, promoting business investments.

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