When the Fed Was Created in 1913

question 14

Multiple Choice

When the Fed was created in 1913,

• A)it had no role in the management of the nation's economy.
• B)it was restricted to providing emergency loans to financial institutions.
• C)it adhered to a strictly supply-side policy focus.
• D)its primary economic management tool was to reduce inflation by restricting the money supply.
• E)it was far more likely to increase the money supply by lowering interest rates than to restrict it by raising them.

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Definitions:

Reintegrative Stage

The period of late adulthood during which the focus is on tasks that have personal meaning.

Sensorimotor Stage

Piaget’s initial major stage of cognitive development, which can be broken down into six substages.

Sociocultural Approach

A theoretical perspective that emphasizes the impact of social and cultural factors on individual behavior and cognitive processes.