A $ 300
B $ 300
C $ -300
D $ 300
Treasury bills are assets and the monetary base is a liability.
Explanation:
To increase the money supply in the economy, the federal reserve should buy the treasury bills and this will increase the money supply in the economy, leading to more demand in the economy and therefore there will be growth and development of the economy.
With the increase in the purchase of the treasury bills by the federal reserve, the money supply will increase by $300.
