A form of short-term borrowing by dealers in government securities is
A)reserve requirements.
B)repurchase agreements.
C)bankers' acceptances.
D)commercial paper.
E)brokers' calls.

Question

Quizplus · Accepted Answer

Repurchase agreements are a form of short-term borrowing, where a dealer sells government securities to an investor with an agreement to buy back those same securities at a slightly higher price.

A Form of Short-Term Borrowing by Dealers in Government Securities