The feds open market operations can change the money supply


Question: The Fed's open market operations can change the money supply, which can affect the risk-free rate offered on bonds. Why might the Fed's policy also affect the risk premium on corporate bonds? The response must be typed, single spaced, must be in times new roman font (size 12) and must follow the APA format.

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Finance Basics: The feds open market operations can change the money supply
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