If the required reserve ratio is 0.05 and the Federal Reserve buys $1 billion in treasury securities, the money supply

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answerhappygod
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If the required reserve ratio is 0.05 and the Federal Reserve buys $1 billion in treasury securities, the money supply

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If therequired reserve ratio is 0.05 and the Federal Reservebuys $1 billion in treasury securities, the money supplywould
Increase/decrease(circleone) by $_____________. This wouldlead to an increase/decrease (circle one) in interestrates.
Thank you very much!
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