Which of the following actions would the Federal Reserve most likely take to rein in spiraling inflation? Choose one answer. A. Generate more money B. Increase reserve requirement C. Lower the discount rate D. Buy of government securities

Verified Answer :

“Increase
reserve requirement” is the action that the Federal Reserve would most
likely take to rein in spiraling inflation.

 

The Federal Reserve System‍—‌also
known as the Federal Reserve or simply as the Fed‍—‌is the central banking
system of the United States.

 

The correct answer between all
the choices given is the second choice or letter B. I am hoping that this
answer has satisfied your query and it will be able to help you in your
endeavor, and if you would like, feel free to ask another question.

Answer:

B

Explanation:

Increase reserve requirement