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Which phrase best completes the diagram?
Features of Federal Open Market Committee
Includes members of the Federal Reserve Board
Includes five Federal Reserve bank presidents
A. Loans money to foreign governments and businesses
B. Decides whether to buy or sell treasury securities
C. Sets interest rates for mortgages and credit cards
D. Investigates banks that violate Federal Reserve rules

Respuesta :

Answer:

Decides whether to buy or sell treasury securities

Explanation:

Apx

Open market operations are a tool the Federal Reserve (Fed) uses to influence interest rates in the United States, specifically the federal funds rate used for interbank lending.

Option B is correct:  Decides whether to buy or sell treasury securities

Which decision is made by the Federal Open Market Committee?

The Federal Open Market Committee (FOMC) is responsible for determining the size and composition of the Federal Reserve's asset holdings, the conduct of open market operations, which affects the federal funds rate (the rate at which depository institutions lend to one another), and public communications about the likely future course of action.

For more details about federal open market to refer link:

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