Who Controls the Federal Reserve System

question 11

Multiple Choice

Who controls the Federal Reserve System?

• A) Largely the president, with the Council of Economic Advisers and the Senate playing advisory roles
• B) Presidents, who have the power to change system policies through executive orders and control of its board members and chair
• C) The system's chair and board, who are appointed by presidents (with Senate confirmation), but who make decisions independently
• D) Institutional members, although presidents can have some influence over them through appointed chairs and board members

---

Definitions:

Moral Anxiety

Anxiety that arises from internal conflicts between what one wants to do and what one considers to be the right or moral action to take.

Psychoanalytic Theory

A theory developed by Sigmund Freud that emphasizes unconscious processes and childhood experiences as the primary factors in personality development and psychological issues.

Internalized

The process of integrating attitudes, values, or norms into one's own belief system or behavior.

Countertransference

The emotional reaction of a therapist towards a client, influenced by the therapist's own background, beliefs, and experiences.