Find out how many years it takes your fruit trees to bear fruit. Thereâs an old proverb that says, âThe best time to plant a tree was 20 years ago.ind out how many years it takes your fruit trees to bear fruit. Thereâs an old proverb that says, âThe best time to plant a tree was 20 years ago.
when the fed buys government bonds, the reserve of the banking system a)increase, so the money supply increases b)increase, so the money supply. This question was answered on Dec 15, 2016. View the Answer. when the fed buys government bonds, the reserve of the banking system. a)increase, so the money supply increases.
When the Fed increases the money supply by purchasing government bonds, it decreases interest rates, which lowers the reserve requirements for banks. This leaves banks with more money to lend to consumers, encouraging borrowing and stimulating economic growth.hen the Fed decreases money supply by selling bonds, it raises interest rates. This increases the amount of money that banks are required to keep on hand in reserve requirements to cover their liabilities. Increased reserve requirements leave banks with less money to lend to consumers.