The Fed Is Institutionally Independent

question 34

Multiple Choice

The Fed is institutionally independent.A major disadvantage of this is that monetary policy

• A)will always be coordinated with fiscal policy.
• B)is not subject to democratic control as other policies are.
• C)will never offset fiscal policy.
• D)cannot be changed once it has been instituted.

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Definitions:

Original Horizontality

A principle stating that sedimentary rocks are deposited in horizontal or nearly horizontal layers under the action of gravity.

Superposition

A principle that states in an undisturbed sequence of rocks, layers of rock were deposited in order from bottom to top according to their age, with the oldest at the bottom and the youngest at the top.

Isotopic Ages

The determination of the age of a material by measuring the ratio of parent isotopes to daughter products in samples.

Volcanic Eruption

The process of magma escaping from within the Earth’s crust to its surface, often accompanied by the release of gases and ash.