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.
4. When the fed wants to INCREASE the money supply, the Fed will purchase some of those bonds from a bank -- the Fed trades cash to the bank for the bonds. 5. The bank now has more cash on hand, so the bank does what banks do with cash -- it'll lend it out to a customer taking a loan.ere's the deal: 1. You deposit $1,000 at your bank. They do not hoard that currency in their vault. The bank must get a return on that money, so the bank will 1) loan it out, which it can do if it has cash on hand, or 2) make a short term investment in gov't bonds, keeping the bonds as an interest-paying asset.