Treasury bills are traded in the __________.

The correct answer is: A. money market.

Treasury bills are short-term debt obligations issued by the United States government. They are considered to be one of the safest investments available, and are often used as a benchmark for other investments. Treasury bills are traded in the money market, which is a market for short-term debt instruments. The money market is a very liquid market, which means that it is easy to buy and sell Treasury bills.

The other options are incorrect for the following reasons:

• Option B, capital market, is a market for long-term debt instruments. Treasury bills are short-term debt instruments, so they are not traded in the capital market.
• Option C, government market, is a market for government bonds. Treasury bills are not government bonds, so they are not traded in the government market.
• Option D, regulated market, is a market that is regulated by the government. The money market is not regulated by the government, so Treasury bills are not traded in a regulated market.