a. buy bonds to access the money supply.
b. buy bonds to abatement the money supply.
c. sell bonds to access the money supply.
d. sell bonds to abatement the money supply.

Answers :cannot be (b) or (c)

The Fed charge to access absorption ante to get them aback to their target. Absorption ante and the amount of bonds accept an changed relationship.

If the Fed buys bonds to access the money accumulation (a) again absorption ante should go lower, all things equal.

Therefore, acknowledgment is (d).
Fed sells bonds, which decreases money accumulation (ie firms buy these bonds from the Fed, accordingly beneath money in the clandestine system) which in about-face raises ante (inverses relationship) but chiefly has the aforementioned aftereffect - ie to apathetic down the abridgement by adopting rates.

To access absorption ante the Fed

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