Traditionally, the Federal Reserve Can Give Emergency Loans Only to

question 40

Multiple Choice

Traditionally, the Federal Reserve can give emergency loans only to

• A)securities firms.
• B)commercial banks.
• C)investment banks.
• D)manufacturing firms.

---

Definitions:

Cyclically Unemployed

Individuals who are unemployed due to the downturn in the business cycle, such as during a recession.

Structurally Unemployed

Individuals who are unemployed due to a mismatch between their skills and the requirements of the current job market, often because of technological changes or shifts in the economy.

Seasonal Unemployment

Unemployment resulting from the seasonal pattern of work in certain industries, with workers regularly laid off during the slow season and rehired during the busy season.

Unemployment Rate

The unemployment rate is the percentage of the labor force that is jobless and actively seeking employment.