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Recall the Application About How the Fed Kept the U

question 25

Multiple Choice

Recall the Application about how the Fed kept the U.S. financial system in operation following the attacks of September 11, 2001, to answer the following question(s) . To help prevent financial firms from defaulting on their debts, the Fed took several steps to provide additional funds to the financial system, including allowing banks to borrow more, increasing the difference between the credits and debits it extended while serving as a clearinghouse for checks, purchasing government securities, and providing dollars to foreign central banks. Together, these actions increased the credit extended by the Fed by over $90 billion.
-According to this Application, immediately following the attacks of September 11, 2001, the Fed provided additional funds to the financial system. On September 12, banks borrowed $45.5 billion dollars, up from $99 million the previous week. This was an example of the Fed acting as a

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Social Class

Social class refers to a division of society based on socio-economic status, often determining individuals' opportunities, behaviors, and life chances.

Extended Family

Consists of not only the nuclear family (parents and their children) but also other relatives such as grandparents, aunts, uncles, and cousins, often sharing a household or living in close proximity.

Sociologists

Scholars who study social behavior, including its origins, development, organization, and institutions.

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A form of mistreatment that leads to harm or loss for an elderly person, often involving physical, emotional, or financial abuse.