Open market operations/Definition: Difference between revisions
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imported>Nick Gardner (New page: <noinclude>{{Subpages}}</noinclude> The purchase or sale of government bonds by a central bank in order to change commercial banks' reserves with a view to the consequences for the [[money...) |
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The purchase or sale of government bonds by a central bank in order to change commercial | The purchase or sale of government [[Financial system#Bonds|bonds]] by a [[central bank]] in order to change [[commercial bank]]s' [[reserve ratio]]s with a view to the consequences for the [[money supply]] and [[interest rate]]s. | ||
Latest revision as of 03:50, 24 January 2010
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Open market operations [r]: The purchase or sale of government bonds by a central bank in order to change commercial banks' reserve ratios with a view to the consequences for the money supply and interest rates.