Exam 4: Federal Reserve System

Alan Greenspan's tenure as chair of the Fed Board was generally characterized by:

The Board of Governors of the Federal Reserve System:

A central bank serves the nation:

One significant feature of DIDMCA was that it:

The National Banking Acts of 1863 and 1864 provided that:

The basic policy instruments that the Fed uses to execute monetary policy include all of the following EXCEPT

The members of the Fed Board of Governors are:

The Federal Reserve act required that ALL national banks were to become members of the Fed.

For which of the following are member banks prohibited from borrowing at the Fed's discount window?

The Board of Governors publishes ________________, which carries articles of current interest and offers a convenient source of the statistics compiled by the Fed.

The five components of the Federal Reserve System include:

The ability to change reserve requirement is a powerful tool the Fed uses frequently.

Empirical evidence shows that in countries where central banks are relatively independent from their governments, there has been higher inflation and lower economic growth rates than in countries where central banks are closely tied to their governments.

The primary function of the Federal Reserve System is to:

Open market operations:

The ___________________ conducts monetary policy for the twelve European countries that formed the European Monetary Union and adopted the euro as their common currency at the beginning of 1999.

The Federal Reserve System exercises its most direct control of the money supply:

The members of the Fed Board of Governors are:

The minimum amount of total reserves that depository institutions must hold are called fractional reserves.

Member banks of the Federal Reserve System may not borrow from the Fed.