The Three Basic Tools the Fed Uses to Manage the Money

question 259

True/False

The three basic tools the Fed uses to manage the money supply are reserve requirements, open-market operations, and the discount rate.

---

Definitions:

Tendon

A cord-like, fibrous tissue that connects muscle to bone.

Aponeurosis

A fibrous sheet or flat, expanded tendon that attaches muscles to the parts they move.

Perimysium

The connective tissue sheath that groups muscle fibers into bundles or fascicles within a muscle.

Gastrocnemius

A major calf muscle that flexes the knee and aids in the plantar flexion of the foot.