Which of the Following Statements About the Federal Reserve System

question 2

Multiple Choice

Which of the following statements about the Federal Reserve System (the Fed) is correct?

• A) The Fed was established by George Washington and Alexander Hamilton in 1793.
• B) Congress created the Fed in 1913.
• C) The Fed was established in 1933, during the famous "Hundred Days" of the New Deal.
• D) Richard Nixon established the Fed in 1969 as an attempt to gain more White House control over monetary policy.
• E) The Fed was established by Herbert Hoover as a weak attempt at warding off the Great Depression.

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Definitions:

Empire of Liberty

A term used to describe the United States' aspiration to be a nation that offers freedom and democracy to its citizens and, by example, to the world.

Thomas Jefferson

The third President of the United States, a founding father, and the principal author of the Declaration of Independence.

European Powers

Refers to the major sovereign nations in Europe, known historically for their influence and colonial activities across the world.

Jefferson and Madison

Thomas Jefferson and James Madison were key figures in early American history, known for their contributions to the drafting of the U.S. Constitution and their fundamental roles in the Democratic-Republican Party.