Which of the Following Can Banks Use to Borrow from the Federal

question 109

Multiple Choice

Which of the following can banks use to borrow from the Federal Reserve?

• A)the discount window or the term auction facility
• B)the discount window but not the term auction facility
• C)the term auction facility but not the discount window
• D)Banks cannot borrow from the Federal Reserve,only the government can.

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Definitions:

State and Federal Jurisdiction

The legal authority granted to state and federal courts over certain types of cases based on geographical area and subject matter.

Subject-matter Jurisdiction

The capability of a court to handle particular types of legal cases or those pertaining to specific areas of interest.

Personal Jurisdiction

The authority of a court over the parties involved in a lawsuit, permitting it to make decisions affecting their rights.

Long-arm Statute

A law that allows for the jurisdiction of a court to extend beyond its traditional geographic boundaries to parties based on their activities with the state.