Final answer:
The Federal Reserve uses open market operations to adjust the money supply and influence interest rates in the economy.
Explanation:
Open market operations are a key tool used by the Federal Reserve to influence the national economy. Through buying and selling government securities on the open market, the Fed can adjust the money supply, impacting interest rates and inflation rates. For example, when the Fed buys bonds, it injects money into the economy, leading to lower interest rates that can encourage borrowing and spending.
Learn more about Federal Reserve's open market operations here:
https://brainly.com/question/33445266
