1. Home
  2. /
  3. Glossary
  4. /
  5. OMOs

OMOs

OMOs occur when the central bank buys or sells government securities in order to influence interest rates. It either injects money into the economy to stimulate economic activity or withdraws money from the economy in order to reduce inflation.

Where this appears

The syllabus topics that use this term.

  • 3.5Expansionary and Contractionary Monetary Policy

Taught in Demand Management (Monetary Policy)

All 809 terms
IBonomics Logo

IBonomics

Comprehensive study materials and practice quizzes for IB Economics students aiming for 6–7 scores. Created by tutors, for students.

Contact Us

Follow IBonomics

All social links

Quick Links

  • Search
  • Exam Overview
  • Practice Quizzes
  • Unit-Based Quizzes
  • Sign Up
  • Become a Tutor
  • Contact
  • Announcements

Study Resources

  • Microeconomics
  • Macroeconomics
  • Real-World Examples
  • International Economics
  • IA Guide
  • Mock Exams
  • Flashcards
  • Economics Briefs
  • Find a Tutor

Legal & Policies

  • Privacy Policy
  • Cookie Policy
  • Disclaimer
Official Resources
IB Organization

© 2026 IBonomics. All rights reserved.

Created by tutors for students. Not affiliated with the International Baccalaureate Organization.