Assume That the US Currency Is Weakening Due to a Variety

question 24

Multiple Choice

Assume that the US currency is weakening due to a variety of domestic and global economic and social factors.  Which of the following courses of action could be taken by the US central bank, the Federal Reserve, if it wants to help boost the dollar so it begins to appreciate?

• A)The Federal Reserve could buy government bonds.
• B)The Federal Reserve could sell government bonds.
• C)The Federal Reserve could sell US dollars in the foreign exchange market and buy other currencies.
• D)The Federal Reserve could buy US dollars in the foreign exchange market and sell other currency it holds.

Identify factors contributing to rising inequality in the United States, including the role of technological change.

Describe the concept of a negative income tax and its purpose.

Understand principles guiding public support for economic policies, like the "veil of ignorance" and its ethical implications.

Recognize programs aimed at reducing economic insecurity and their mechanisms.

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Definitions:

Tutsi Genocide

The mass slaughter of Tutsi in Rwanda by members of the Hutu majority government in 1994, resulting in the deaths of hundreds of thousands of Tutsi and moderate Hutu.

International Community

A term referring to the collective groups of nations or states and their governments, organizations, and people interacting on a global scale.

Rwanda

A landlocked country located in East Africa, known for its intense history, including the 1994 genocide against the Tutsi, and for its extensive recovery efforts and economic growth.

Quantitative Sociology

The study of behaviours that can be measured (e.g., income levels).