Respuesta :
A central bank , will use expansionary monetary to strengthen an economy. The three key actions by fed to expand the economy include a decreased discount rate , buying government securities, and lowered reserve ratio.
The action taken by a central bank which would reflect the expansionary monetary policy is the sale of treasury securities to banks and the lowering down of reserve requirements.
Options A and C are correct.
What is a central bank?
A central bank is referring to the largest bank that controls the regional and subordinate banks. It is the bank in which the commercial banks keep the needed reserve ratio. There are various policies being made by the central bank to monitor the monetary system like fiscal policy, monetary policy, economic policy, etc.
The central bank of the US country is the Federal Reserve that applied the expansionary monetary policy. The three ways that are made by Federal Reserve in respect of this policy are by making the discount rates to be fallen down for every bank, by acquiring the securities being sold by the government in the market and by keeping the reserve ratio to the lowest so that commercial banks can easily maintain them.
Therefore, the explanations written in option A and C are correct.
Learn more about the expansionary monetary policy in the related link:
https://brainly.com/question/28038989
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Question's missing part:
The options are given as follows:
A) Selling treasury securities to banks to reduce the money supply
B) Raising the discount rate to provide less in loans to banks
C) Lowering the reserve requirements for all banks
D) Raising the interest that it pays to banks on the balance of their
reserves
