What effect does the fed purchases 10 billion of foreign, Financial Management

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What effect does the fed purchases 10 billion of foreign

What effect does each of the following have on the U.S. monetary base?

a. The Fed purchases $10 billion of foreign assets.

b. The Fed sells $10 billion of foreign assets and purchases $10 billion of Treasury securities.

c. The Fed conducts a sterilized foreign exchange intervention.

d. The Fed sells $10 billion of foreign assets and sells $10 billion of Treasury securities.

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