If Citibank decides to increase its purchases of mortgage-backed securities from hedge funds with its excess reserves, the supply of money will do what?


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Citibank Approximately 80% of U.S. mortgages issued in recent years to subprime borrowers were adjustable-rate mortgages.[1] After U.S. house prices peaked in mid-2006 and began their steep decline thereafter, refinancing became more difficult. MORE ChaCha

Answered by Makenzie D. -

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