Question $26(1$ point$)$

The following is an excerpt from a Wall Street Journal article titled "Nasdaq Composite Sets First Record Since February," published a week ago:

"Loose monetary policy from the U$.$S$.$ central bank has underpinned the stock market's rally, and any sign of a shift toward a more inflation$-$fighting posture could spook the markets."

Note: U$.$S$.$ central bank refers to the Federal Reserve Bank.

If the Fed shifts towards a more inflation$-$fighting posture, it means that

the Fed would increase money supply

the Fed would decrease money supply

the government would decrease taxes

the government would increase spending